ENVIRONMENTAL SOCIAL

AND GOVERNANCE REPORT

STOCK CODE: 300316The crystal of technology enjoys

great prestige in the world目录

CONTENTS

About This Report 01 2024 Major Events 09 ESG Performance 127

Chairman Message 03 2024 Honors 11 Index of Indicators 131

About JSG 05 Highlights in 2024 12 Reader Feedback 133

Company Development History 07 ESG Management 13

010203040506

Sound Operations and Meeting a Green and Igniting Innovation Striving for Win-win United in Strength and Staying True to Original

Lean Management Flourishing Future and Advancing Cooperation and Building People-Centric Aspiration Feeding Back

Together a Promising Future the Society with Gratitude

2139657789121

Compliance Operation 23 Environmental Compliance 41 Innovation-driven 67 Supply Chain Security 79 Employee Rights and 91 Public Welfare 123

Management Benefits

Risk Management 28 IP Protection 70 Coordinated Industrial 82 Rural revitalization 125

Green Industry 43 Development Employee Development 97

Business Ethics 31 Development Quality Management 71

Employee care 110

Privacy and Information 35 Addressing Climate 48 Customer Service 74

Security Change Occupational health and 113

safety

Efficient Resource 51

Utilization2024 Environmental Social and Governance (ESG) Report

About This Report

This is the 4th Environmental Social and Governance (ESG) Report published by Zhejiang Jingsheng Mechanical

& Electrical Co. Ltd. This Report discloses the Company's development practices and major achievements in

economical environmental social and corporate governance responsibilities for the year 2024 in an attempt to

communicate effectively with various stakeholders and systematically respond to stakeholder expectations and

requirements.Huixiang E&H refers to Hangzhou Huixiang Electronic Hydraulic Technology Development Co. Ltd.Time Frame Jingchuang Automation refers to Zhejiang Jingchuang Automation Equipment Co. Ltd.JingHuan Electronic refers to Inner Mongolia JingHuan Electronic Materials Co. Ltd.The Report covers the period from January 01 2024 to December 31 2024. To enhance the comparability and Jinghong Precision refers to Zhejiang Jinghong Precision Machinery Manufacturing Co. Ltd.perspectiveness of the Report some content appropriately refers to previous and subsequent years. Jingyu New Materials refers to Zhejiang Jingyu New Materials Co. Ltd.Jingrui Electronic refers to Zhejiang Jingrui Electronic Materials Co. Ltd.Jingsheng Photonics refers to Zhejiang Jingsheng Photonics Technology Co. Ltd.Basis for Compilation Jingxin Green Diamond refers to Zhejiang Jingxin Green Diamond Technology Co. Ltd.Meijing New Materials refers to Zhejiang Meijing New Materials Co. Ltd.Ningxia Jingchuang refers to Ningxia Jingchuang Intelligent Equipment Co. Ltd.UN Sustainable Development Goals (SDGs) 2030 Ningxia JingHuan refers to Ningxia Jinghuan New Material Technology Co. Ltd.Global Reporting Intiative GRI Standards Ningxia Xinjingsheng refers to Ningxia Xinjingsheng Electronic Materials Co. Ltd.Guidelines No. 17 of Shenzhen Stock Exchange for Self-Regulation of. Listed Companies—Sustainability Report (Trial) Qiushi Semiconductor refers to Zhejiang Qiushi Semiconductor Equipment Co. Ltd.Chinese National Standard Guidelines on Social Responsibility Reporting (GB/T36001-2015) ZVISION Optoelectronics refers to Hangzhou ZVISION Optoelectronics Technology Co. Ltd.Qiushi Chuangxin refers to Zhejiang Qiushi Chuangxin Semiconductor Equipment Co. Ltd.Data Source

* See the Company's 2024 Annual Report for the scope of the specific holding subsidiaries covered in this Report.The data in this Report comes from the raw data of the Company's actual operation public data from government

departments annual financial data relevant internal statistical reports third-party questionnaires and third-party Report Acquisition

evaluation interviews. The financial data in this Report is in CNY. In case of any inconsistency between this Report

and the Financial Report the Financial Report shall prevail. This Report is published in electronic format and can be accessed on the Shenzhen Stock Exchange website (http://

www.szse.cn) and CNINFO (www.cninfo.com.cn). The Report is available in both English and Chinese. In the event

Report Terminology of any discrepancy in the interpretation of the two texts the Chinese version shall prevail.For the purpose of presenting the economic social and environmental responsibilities of Zhejiang Jingsheng

Mechanical & Electrical Co. Ltd. (hereinafter referred to as "JSG" the "Company" or "we") and its subsidiaries the

full names and abbreviations of some of the subsidiaries covered in this Report are as follows:

01 022024 Environmental Social and Governance (ESG) Report

Chairman Message

2024 is a crucial year for JSG to anchor its "advanced ecosystem. This deep cooperation is not only a reflection of trust but also a powerful driving force for us to continuously

materials advanced equipment" strategy and drive high- optimize our services and enhance our competitiveness.quality development through innovation. We adhere to

the core values of "Honesty and optimism Loyalty and Our unwavering pursuit is to explore and innovate and create brilliance together. The company always adheres to

dedication Struggle orientation Partner accomplishment the dual wheel drive of technological innovation and deep exploration of customer needs and fully promotes research

Pioneering and innovation Co-creation of brilliance". With and development innovation. In 2024 the company will lead the industry development with a series of cutting-edge

technological breakthroughs as the spear and responsibility technologies. In the field of semiconductor equipment we have achieved breakthroughs in the localization of high-end

as the shield we continue to make breakthroughs in equipment such as 12 inch vacuum epitaxy and advanced packaging three-axis thinning machines and our product

the semiconductor and PV fields and strive towards the performance has reached the international advanced level; Innovative fully automated large-size silicon carbide

mission of "To become a leading equipment supplier of growth and processing technology helps accelerate the upgrading of the silicon carbide industry; The semiconductor

semiconductor materials to facilitate high-tech industry diamond wire slicing technology and the new generation polishing technology are driving the global leading process of

development for green intelligent manufacturing". We have semiconductor large silicon wafer equipment. In the process of rapid development and intensified competition in the PV

built an ESG management system covering the entire value industry the company has taken the lead in launching core efficiency improving EPD equipment and cost reducing silver

chain promoted the parallel transformation of technology removal component equipment through continuous research and development technology innovation. Innovative

and green and achieved a deep integration of technology products have greatly enhanced the company's competitiveness and ability to withstand cyclical fluctuations laying a

leadership ecological co construction and social value. solid foundation for rapid development in the next cycle.The core belief we always adhere to is striving for excellence Talent oriented organization based is the cornerstone of our stable development. JSG always regards talent

and achieving partnership. In the challenges posed by the as the most valuable asset and constructs a full cycle talent development system of "talent introduction

restructuring of the global semiconductor industry chain cultivation and retention" with the values of "honesty optimism loyalty and dedication". The company uses

and changes in the supply and demand of the global Jingsheng Academy as a platform to regularly conduct specialized training. Through different fields and levels

PV new energy industry the company actively seized of professional courses it establishes a process decentralization and accountability mechanism implements a

opportunities and promoted the development of new capability appointment system and uses value creation to drive management promoting the career development

businesses forming three core business boards covering of technical cadres and continuously cultivating professional talents for the company. In 2025 the company will

semiconductor equipment semiconductor substrate continue to focus on upgrading its operational capabilities and plan to carry out improvement projects based on

materials semiconductor consumables and components risk management and process performance. By combining employee empowerment talent development and

laying a solid foundation for the company's steady excellent team building driven by a future oriented vision and strategic decision-making the company will build an

growth. We have predicted the downward cycle of the PV industry-leading human resources ecosystem and organizational effectiveness system.industry and effectively balanced the risks and benefits Looking back on eighteen years of hard work and perseverance my original intention remains unchanged. We deeply

of the PV equipment business through scientific risk understand that only by putting customers at the center innovation as the driving force and talent as the foundation

control and lean manufacturing management creating can we stand at the forefront of change. Looking ahead to the future JSG will take ESG as its strategic guidance

maximum value for shareholders and employees. At the and deepen its three major commitments: firstly technology first accelerate the localization of semiconductor

same time the company is targeting the new track of the equipment upgrade PV technology and contribute to global carbon neutrality; Secondly collaborative development

silicon carbide industry rising late and quickly standing working together with customers employees and communities to build a community of responsibility and promote

out with differentiated technological innovation precise the development of the industrial chain; Thirdly we will operate steadily driven by both digitalization and green

product positioning full industry chain technology layout manufacturing to create a hard technology benchmark with a long-lasting foundation.Zhejiang Jingsheng Mechanical & Electrical Co. Ltd. and intelligent manufacturing winning a leading position

Chairman in the industry. In addition we continue to deepen our Finally on behalf of the board of directors I would like to express my heartfelt gratitude to every fighter partner

collaboration with long-term strategic partners working and social supporter! Let us take the vision of "The crystal of technology enjoys great prestige in the world" and

Dr. Cao Jianwei together to build a healthy and sustainable industry join hands to embark on a new journey of high-quality development.

03 042024 Environmental Social and Governance (ESG) Report

About JSG

Company Profile

Zhejiang Jingsheng Mechanical & Electrical Co.Ltd. was established in 2006 and went public in 2012. It is a leading "advanced quartz crucibles are leading domestically while the technology and scale of PV quartz crucibles are leading globally. At the same

materials and equipment" high-tech enterprise. The Company has a research and management team centered around time the Company's processing capability and mass production scale of semiconductor precision components such as large

professors and PhDs as well as technical research platforms such as the national postdoctoral research workstation and vacuum chambers large high-precision frames and precision transmission spindles are among the top in China.the national enterprise technology center and multiple professional research institutes. Our main business products involve

semiconductor equipment semiconductor substrate materials and semiconductor consumables and components.Vision Mission Values

In the field of semiconductor equipment the Company is a leading enterprise in the domestic integrated circuit level 8-12 inch

large silicon wafer growth and processing equipment; Successfully deployed advanced process and packaging equipment such · T he crystal of technology enjoys · To become a leading equipment · H onesty and optimism

as 8-12 inch silicon atmospheric pressure epitaxy 8-12 inch vacuum epitaxy equipment and thinning machines and obtained great prestige in the world supplier of semiconductor · Loyalty and dedication

market recognition; 6-8 inch silicon carbide epitaxial equipment achieves domestic substitution leading the industry in market materials · Struggle orientation

share; PV equipment technology and scale are globally leading. In the field of semiconductor materials the Company's sapphire · To facilitate high-tech industry · Partner accomplishment

material technology and scale are globally leading; The technology and scale of 6-8 inch silicon carbide substrate are at the development for green · Pioneering and innovation

forefront in China. In the field of semiconductor consumables and components the technology and scale of semiconductor intelligent manufacturing · Co-creation of brilliance

Global presence

Core business areas

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A le2024 Environmental Social and Governance (ESG) Report

Company Development History

20062014201520182023

S hangyu Jingsheng Established JingRui Acquired ZVISION Successfully developed a 6-inch SiC crystal

Optoelectronics aiding in J SG's Technology Center was recognized as a Mechanical & Electrical Electronic with a production growth furnace national enterprise technology center

Engineering Co. Ltd. capacity of 12 million pieces the creation of automated Established PRIMET Japan Co. Ltd.established of sapphire slicing and intelligent production lines

Meijing New Materials became the first

expanding into the high-end semiconductor

polishing projects T he 300mm Czochralski

company in China to develop and mass-

precision component field

silicon mono crystal puller produce 42-inch quartz crucibles

2007 Established Qiushi Semiconductor initiating equipment passed the T he School of Mechanical Engineering of

the development of semiconductor CVD

Developed the first domestic 2013 national 02 special project Zhejiang University held the inauguration equipment

fully-automatic mono crystal acceptance ceremony of "Jingsheng Building" E stablished JingHuan

silicon growth furnace and JSG's annual output of 300000 silicon Electronic to engage in the

achieved batch sales 2016 2019 carbide substrates project launchedsapphire crystal material

business The 8-inch zone melting Successfully developed various equipment

silicon mono crystal puller for G12 silicon wafers double-side grinding

2008 passed the national 02 special machines for 8-12 inch silicon wafers and

2012 project acceptance polishing machines for 6-8 inch silicon wafers 2022 S uccessfully developed

Established Jingchuang Achieved full coverage of 8-inch Crystal Laboratory successfully grew the first

the largest fully-automatic L isted on the GEM of the

Shenzhen Stock Exchange Automation starting the semiconductor silicon wafer growth slicing 150kg deep red rubyCzochralski mono crystal

equipment service journey polishing and CVD processing equipment Successfully developed a fully-automatic

puller in China

diamond growth furnace

2011 2017 2020 J SG celebrated its tenth anniversary of listing

S uccessfully developed the A cquired 10%shares and S uccessfully developed an 8-inch N-type SiC

jointly established the J ointly established the Ningxia Xinjingsheng

2009 domestic first gas-cooled

crystal

Zhonghuan Advanced with Lens Technologymulticrystalline silicon S uccessfully grew a 700Kg level sapphire

Successfully developed the casting furnace Semiconductor Materials crystal

first domestic dual-source S uccessfully developed the Co.Ltd with Zhonghuan C ompleted the technical identification of 2021

JSH450 multicrystal ingot first sapphire silicon growth Developed a 12-

inch semiconductor the third-generation semiconductor CVD S uccessfully developed a 12-inch furnace

superconducting magnetic equipment semiconductor hard-axis Czochralski silicon

field mono crystal puller S uccessfully developed a 12-inch precision mono crystal puller

Invested in semiconductor double-side polishing machine Successfully developed the process

2010 precision partsbase through exhaust gas treatment equipment for the

semiconductor industry

Underwent a shareholding JingHong Precision

D eveloped the first 8-inch silicon wafer

reform to become: Zhejiang E stablished JSG Japan

thinning machine

Jingsheng Mechanical & Co.Ltd.starting the path

of international R&D for D eveloped the first chip-end LPCVD officially Electrical Co. Ltd.semiconductor equipment entering the IC manufacturing field

07 082024 Environmental Social and Governance (ESG) Report

2024 Major Events

January March April May June

Subsidiary JingHong Precision J SG relocated its headquarters to the Innovation Center D r. Cao Jianwei Chairman of J ingHuan Electronic's 1000kg- J SG participated in the 17th

was selected as a smart J SG released three new products: 8-inch double-chip silicon carbide JSG was honored as a "2024 class ultra-large sapphire (2024) SNEC International

factory in Zhejiang Province epitaxial furnace 8-inch silicon carbide measurement equipment and 12- Model Worker of Zhejiang silicon set a new record Photovoltaic Power

inch fully automatic thinning and polishing equipment Province" Generation and Smart Energy

Conference & Exhibition

July September October November December

D r. Zhu Liang Vice President of JSG was named JSG participated in the 12th CSEAC J SG achieved an "A" rating in J SG won the first 10GW batch order The Japan Materials Research

among the first "Excellent Engineer of Zhejiang Meijing New Materials and Qiushi Semiconductor information disclosure from for battery cutting edge passivation Institute was established

Province" were recognized as national specialized refined the Shenzhen Stock Exchange (EPD) equipment J SG showcased its products

J ingsheng Photonics exported cell equipment to differential and innovative "Little Giant" for 11 consecutive years at the 2024 Semicon Japan

overseas customers enterprises

J SG was selected as a key laboratory in Zhejiang

Province

09 102024 Environmental Social and Governance (ESG) Report

2024 Honors ESGH Kigehy lPiegrhfotrsm inan 2ce0 2in4 2024

Economy and governance

2024 Key Honors Revenue Net profit attributable to parent company

1757661 CNY 10000 250973 CNY 10000

Total asset Tax paid during 2024

ESG 荣誉 ESG Honors 3155018 CNY 10000 138383 CNY 10000

◆ MSCI ESG rating upgraded to BB 3 NO 100%

independent directors reported incidents of anti- employees receiving anti-

◆ A chieved an "A" rating in information disclosure from the Shenzhen Stock Exchange for 11 corruption corruption training

consecutive years

National Level Social

◆ 5 subsidiaries listed as Specialized contribution in the Chinese electronic Total employees Number of disabled employees Number of minority employees

Refined Special and Innovative Little special equipment industry for seven 6111 Persons 7 Persons 274 Persons

Giants consecutive years

◆ T op 500 Chinese Private Enterprises 2024 ◆ Top 100 Electronic Information Number of female managers Number of female executives

◆ T op 500 Chinese Manufacturing Competitive Enterprises 2024

Enterprises 2024 Top 500 Private Enterprises in R&D 59 Persons 17 Persons◆

◆ I ncluded in the Hurun China 500 list for Investment 2024

five consecutive years ◆ 2024 Outstanding Equipment Enterprise R&D personnel R&D investment Cumulative number of patents as of December 31 2024

◆ R anked the top position in terms of tax 1588 Persons 111919 CNY 10000 1069 pcs

Provincial Level Customer satisfaction NO Donation

97% customer complaints 750 CNY 10000

◆ E stablished Zhejiang Postdoctoral Workstation

◆ T op 100 Manufacturing Enterprises in Zhejiang Province 2024 Environmental

◆ T op 100 Fastest Growing Enterprises in Zhejiang Province 2024

◆ L isted in the "Leading Enterprises of Private Economic Headquarters in Zhejiang Province" Investment in environmental protection Total wastewater circulation Total recyclable waste

in 2024 3582 CNY 10000 201212 m3 2062 ton

◆ T op 500 High-Tech Enterprises with Innovation Capability in Zhejiang Province

Cumulative PV investment as of December 31 2024 Cumulative PV power generation as of December 31 2024

7427 CNY 10000 1676 '0000 kWh

Planned investment in PV projects in next 3 years Total expected PV power generation

1500 CNY 10000 1816 '0000 kWh

11 122024 Environmental Social and Governance (ESG) Report

Climate change is a global challenge that humanity must collectively address. As an industr y-leading

ESG Management semiconductor and photovoltaic intelligent manufacturing company we firmly believe that seizing opportunities

in clean technologies and driving green innovation are essential to accelerate global carbon neutrality. In 2024 we

elevated clean technology initiatives to become a core component of our ESG development strategy. Collaborating

with partners across various sectors we are committed to advancing the transformation towards clean energy and

ESG Management promoting low-carbon green development.JSG aims to "become a leading equipment supplier of semiconductor materials facilitate high-tech industry Strategic direction for clean technology opportunity

development for green intelligent manufacturing" actively assuming responsibilities to shareholders the

environment customers employees and the community. JSG builds its ESG management philosophy starting

from six dimensions: robust governance environmental protection technology R&D collaboration with multiple * I ncrease investment in green product R&D and focus on the development of "advanced

parties caring for employees and contributing to the society. materials and advanced equipment" in green energy fields such as photovoltaic power

generation and LED lighting

* A dhere to sustainable development as the focus of the Company's development

JSG's ESG management philosophy Green * Build a green manufacturing system to contribute to the national new energy green

industry

* The Company provides intelligent factory solutions for the semiconductor industry PV

industry and compound substrate industry to meet customers' digital and intelligent

Robust governance Protecting the environment Technology R&D production mode needs

* B uild an industrial digital brain and create an intelligent manufacturing mode to achieve

* Business Ethics * E mpowering new energy Intelligent lean intelligent manufacturing and management with highly intelligent advanced

* A ctively creating shareholder products * Continuous innovation manufacturing and efficient organizational management

value * Promoting green operation * P romoting industry

* S olid corporate governance and production development

and operations * A ctively Adopt and Mitigate

Climate Change

* Set the greenhouse gas emission reduction targets of carbon peak in 2030 and

carbon neutrality in 2055 with 2022 as the base year

* Scientifically eliminate and replace old equipment and upgrade processes to

reduce energy consumption and emissions during the operation process

* Give priority to clean energy sources such as photovoltaic power generation

Low-carbon promote the transformation of the energy structure and gradually get rid of the

dependence on fossil energy

* Plan the optimal path use recyclable packaging materials and utensils and work

together with suppliers to achieve low-carbon and energy-saving goals

Collaboration with multiple parties Caring for employees Contributing to the society

* Comprehensive employee

* Focusing on vulnerable

* Becoming the most training system

groups

trusted partner for * Transparent promotion

* Conducting public * B uild a globally leading green intelligent high-tech manufacturing enterprise integrating

customers paths intelligent equipment for semiconductors photovoltaics etc. new materials and provide

welfare donations and

* Stable supply chain * Caring for employee

activities Manufacturing

an ecological environment for low-carbon energy-saving and sustainable development

health and life

13 142024 Environmental Social and Governance (ESG) Report

ESG Management Structure

JSG places significant emphasis on ESG risk management and governance standards. The Company has progressively

enhanced its ESG management system establishing a three-tier ESG management organizational structure of

"decision-making - management - execution" with the board of directors as the decision-making level the strategy and 1

investment committee under it as the management level and the ESG working group composed of heads of functional

departments as the executive level. It uses the internal three-line defense mechanism to ensure the compliance and 11

effectiveness of ESG management and effectively guarantee that the Company fulfills its ESG commitments. 4 14

Board of Directors 9

319

It is the highest ESG governance and decision-making body responsible 15 22

Board for setting ESG strategies and long-term plans making decisions on

of 2

Directors ESG-related risks and reviewing external disclosures. 6 18

5

Strategy and Oversees the development of overall and specialized strategic plans 23 13

Investment reports regularly to the Board and coordinates guides and supervises 20

Committee 16major ESG matters and decisions. 7 17

Develops ESG management policies handles communications and 8 24 21

information disclosures reports progress and outcomes to the 12

ESG Working Group Strategy and Investment Committee and coordinates daily ESG

management across departments. 10

Material Topic Analysis

JSG has identified and confirmed the ESG material topics for 2024 by considering the macro policies and Materiality for company's risks and opportunities

development trends taking into account the development of its own ESG work and the focuses of its stakeholders

referring to international authoritative standards benchmarking against the focuses of ratings such as MSCI

ESG and communicating with external experts and projects. The Company responds to stakeholder demands Governance topics Environmental topics Social topics

and disclosures through the entire process of topic identification and screening to stakeholder research

comprehensive analysis of the results and ultimately to the formation of a material topic matrix. The analysis 1 Corporate governance 9 Energy and resource 17 Employee rights

management development and health

results of material topics provide an important reference for the Company's future ESG management work. 2 Digital transformation

3 Information security and 10 Green logistics (including 18 Product quality and safety

1 Company Business Analysis 2 Topic Identification and Screening privacy protection packaging transportation 19 Technology R&D and

and warehousing)

JSG is committed to understanding its Following domestic and international standards and policies 4 Risk management innovation

operations external environment and based on industry policy analysis and benchmarking against 11 Clean technology 20 Transparent procurement

stakeholder relationships to enhance its ESG peers 24 topics related to the Company have been identified 5 IP protection opportunities

and summarized. Business ethics and anti- 21 Customer service6 12 Source of raw materials

corruption 22 Leading industry

3 4 13 Emission managementStakeholder Survey Comprehensive Analysis of Results 7 ESG management development

14 Supply chain management

Communicate with internal and external Based on the results of stakeholder research combined with 8 Compliance with 23 Public welfare(including environmental

stakeholders through online questionnaires and expert analysis the material topics are adjusted the Board of information disclosure requirements) 24 Gender equality

other tools covering employees customers Directors reviews the completeness and accuracy of material

investors suppliers service providers government topics determines their financial materiality and impact 15 Addressing climate risks

and regulatory agencies media industry sorts them forms a matrix of material topics and responds to 16 Chemical management

associations and cooperation institutions. topics of concern to stakeholders in the Report.

1516

Materiality for ESG impact2024 Environmental Social and Governance (ESG) Report

Stakeholder Communication

JSG attaches great importance to stakeholder communication. As a group that mutually influences and shares

mutual benefits with the Company the expectations and demands of stakeholders are an important reference for

the Company's sustainable development work. The Company regularly understands the expectations and feedback

of internal and external stakeholders such as investors the government customers employees suppliers and the

media through various channels.Stakeholder identification Expectations and requirements Communication and response Stakeholder identification Expectations and requirements Communication and response

●?Internal system publication

●?

Equity compliance assurance Internal online communication ●?Supply chain management Supplier assessment ●? ●?

●? exchange and training

●? Comprehensive compensation platforms Anti-corruption

●?

system ●? Skill training and career ●? Mutual benefit and win-win Transparent procurementSuppliers

●?

●?

Employees Smooth promotion system development guidance

result Resource sharing

(service providers)

●?Enrich employee activities ●? Organizing various employee

activities

●? Product responsibility ●? Comprehensive quality

management management system

●?I ndustry communication and ●?Technical discussions

●?Stable business growth ●?Active R&D innovation cooperation ●? Customer service hotline and

●? Protection of shareholder ●? Compliance information ●?S mooth communication customer surveys

equity disclosure Customers channels ●? Satisfaction surveys and

●? Investor relations ●? Smooth investor ●?Improving customer satisfaction feedback

management communication channels

Investors and ●? Intellectual Property ●?IP training and protection

shareholders Protection ●?E stablishing a system of

●?Adherence to business ethics integrity and ethics ●?R&D innovation ●?Collaborative R&D

●?Brand collaboration ●?Exchange visits

●?Industry upgrade ●?Enterprise forums

Partners

●? Law-abiding business ●?Internal control system

operations ●? Learning and implementing

●? Compliance with regulatory various regulatory provisions

●?

requirements ●?P romoting rural revitalization ●?Social welfare Volunteer services and

Government and ●? Response to national and realizing "Carbon peaking ●?Rural revitalization community activities

●?

regulatory authorities development policies and Carbon neutrality" goals Targeted assistanceCommunity and Public

17 182024 Environmental Social and Governance (ESG) Report

Responding to the UN Sustainable Development Goals (SDGs)

JSG supports the United Nations 2030 Agenda for Sustainable Development and promotes the realization of the UN

Sustainable Development Goals (UN SDGs 2030) through its actions.SDG 17: Partnerships for the goals SDG 3：Good health and well-being

Corresponding Chapters: Chapter 1 Chapter 3 Chapter 4 Corresponding Chapters: Chapter 2 Chapter 5

JSG empowers technological innovation through industry-academia-research JSG continuously improves its occupational health and welfare system implements

cooperation assisting in the collaborative development of specialties and various health and safety measures and fully guarantees the physical and mental

industries. It establishes honest transparent and mutually trustworthy health of its employees.relat ionships with suppl iers creat ing a responsible supply chain and

promoting cooperation for mutual benefits across the entire industry chain

SDG 4：Quality education

SDG 16：Peace justice and strong institutions Corresponding Chapters: Chapter 4 Chapter 5

Corresponding Chapters: Chapter 1 JSG consistently enhances its employee training creating a training brand system

It establishes a governance system with clear accountability compliance and centered around Jingsheng Academy. For several years it has conducted various

efficiency strengthens business ethics management pays attention to information training activities such as new employee training team leader leadership training

security and intellectual property protection and maintains the sustainable operation "Porter Cup" "Lu Ban Cup" etc. empowering employees. The Company has

and development of the company. established long-term educational support partnerships with universities which

vigorously support national R&D personnel.SDG 13：Climate action

Corresponding Chapters: Chapter 2 Chapter 3 SDG 5：Gender equality

JSG firmly grasps opportunities in clean technology increases investments in green

technology continuously monitors its greenhouse gas emissions increases the use of SDGs Corresponding Chapters: Chapter 5

clean energy and constantly improves its energy-saving and emission-reduction efforts. It values the rights of female employees practices equal pay for equal work among

male and female employees and focuses on the development of female employees.SDG 11：Sustainable cities and communities SDG 8：Decent work and economic growth

Corresponding Chapters: Chapter 2 Chapter 6 Corresponding Chapters: Chapter 5

JSG adheres to the environmental protection and low-carbon design concepts and JSG provides employees with market-competitive salaries develops and implements

contributes to the promotion of clean energy technology and innovation creating long-term compensation incentive programs.green energy for the world. In addition JSG actively organizes public welfare activities

to return the society with various practical actions.SDG 10：Reduced inequalities SDG 9：Industry innovation and infrastructure

Corresponding Chapters: Chapter 5 Corresponding Chapters: Chapter 3 Chapter 4

JSG adheres to an equal employment policy offers fair compensation and benefits It insists on innovation-driven independent R&D and is committed to leading the

and creates a harmonious and equal working environment. development of the global PV equipment industry with innovative technologies and

products

19 202024 Environmental Social and Governance (ESG) Report

1 Compliance Operation 23 Business Ethics 31Risk Management 28 Privacy and Information Security 35

Sound Operations and

Lean Management

JSG is committed to establishing an exemplary governance model by developing

a robust governance structure and a comprehensive internal control and risk

management system upholding business ethics and fostering an environment that

ensures information security. These initiatives serve as the foundation for stable

development enabling the Company to project a responsible corporate image

and create long-term stable and sustainable value for shareholders customers

employees and a broader range of stakeholders.

21 222024 Environmental Social and Governance (ESG) Report

Compliance Operation Key Performance

In 2024 the Company held 1 General Meeting of Shareholders 6 Board Meetings and 6 Supervisory

Operation by the Board of Directors the Board of Supervisors Meetings. A total of 56 resolutions were considered.and the General Meetings of Shareholders

The Board of Directors of the Company has established four specialized committees: Nomination Compensation

JSG strictly abides by the Company Law of the People's Republic of China the Securities Law of the People's Republic of and Assessment Audit and Strategy and Investment. The rules of procedure for each committee have been revised

China the Code of Corporate Governance for Listed Companies and the legal regulations of the Securities Regulatory and improved operating strictly according to the rules of procedure of each specialized committee providing

Commission and the stock exchanges. It has established a governance structure composed of the General Meeting of scientific and professional advice for the decision-making of the Board of Directors.Shareholders the Board of Directors the Board of Supervisors and the management team and continuously improved

various governance systems and the working rules of the three mechanisms to promote standardized operations and Committee Responsibilities and Independence under the Board of Directors

enhance corporate governance ensuring the protection of the legal rights of the Company and its stakeholders.Committee

Name Key Responsibility Committee IndependenceOrganization chart of the Company

General Meeting of Shareholders

Understand the progress of business operations and

major issues;

G uide internal audit work and review the Company's

Board of Supervisors Board of Directors financial statements and business data; M s. Fu Qi is the chairperson and Mr.Proposing the appointment or replacement of Zhao Jun and Mr. Pang Baoping are

Audit external audit firms; committee members;

Overseeing the Company's internal audit system and T he Committee consists of 3

Remuneration and Strategy and Investment Committee

Nominating Committee Audit Committee its implementation; independent directors with 100%

Evaluation Committee Committee M anaging communication between internal and independence.external audits;

Composition and Responsibilities of the three Mechanisms Review the Company's financial information and its

disclosure.Review the long-term development strategy and major

General Strategy and

* The General Meeting of Shareholders of the Company decides on the business policies investment and financing decisions of the Company The Committee consists of Mr. Cao

Meeting of Investment in light of the development of the industry in which Jianwei (chairperson) Ms. Qiu

and investment plans of the Company and reviews important matters of the Company.Shareholders Committee the Company operates and its own development Minxiu and Mr. Zhou Zixue.situation.* The Board of Directors of the Company is a permanent decision-making body mainly exercising

Board of Advise and make recommendations to the Board The Committee consists of Mr.the powers granted by laws regulations Articles of Association and the General Meeting of

Directors Nominating of Directors on the selection of directors (including Zhao Jun (chairperson) Mr. Pang Shareholders and is accountable to the General Meeting of Shareholders. independent directors) General Manager and Baoping and Mr. He Jun;

Committee other senior management of the Company and be The Committee includes 2

responsible to the Board of Directors. independent directors.* The Board of Supervisors according to the powers conferred by the Articles of Association

supervises the company's operations management and decision-making and safeguards the

Review the compensation policy and assessment

legitimate rights and interests of the company and its shareholders.Board of schemes for the directors and senior management of The Committee consists of Mr. Pang

* The Board of Supervisors consists of shareholder representatives and an appropriate proportion Remuneration

Supervisors the Company evaluate and review the work situations Baoping (chairperson) Ms. Fu Qi

of employee representatives. The Chairman of the Board of Supervisors is elected by a majority of and of the directors and senior management according and Mr. Mao Quanlin.all supervisors and employee representatives are democratically elected by company employees Evaluation to performance evaluation standards review the The Committee includes 2

through the employee representative assembly employee assembly or other democratic forms. Committee implementation of the Company's restricted stock independent directors.incentive plan.

23 242024 Environmental Social and Governance (ESG) Report

?Remuneration and Evaluation Committee Independence and diversity of the members of the Board of Directors

Professional Ability

The Remuneration and Evaluation Committee established under the Company's Board of Directors is responsible Type Name Gender

for formulating the evaluation standards for the Company's directors and senior management personnel and Industry Risk Financial

conducting appraisals formulating and reviewing the remuneration policies and plans for directors and senior Experience Management Management

management personnel and continuously improving the evaluation and remuneration management systems Chairman Cao Jianwei Male √

for the Company's directors and senior management personnel to ensure the fairness and rationality of the

remuneration of the Company's directors and senior management personnel. The remuneration policies and Non-independent director Qiu Minxiu Female √

plans comprehensively consider the average annual salary level of the industry in which the Company is located Non-independent director He Jun Male √

and the current situation of the Company. The annual salaries of the Company's directors and senior management

personnel are linked to the indicators of ESG-related topics such as compliance operation business ethics product Non-independent director Mao Quanlin Male √

innovation and R&D talent attraction and retention product quality and customer complaints so as to fully Non-independent director Zhu Liang Male √

mobilize the work enthusiasm of directors and senior management personnel and strengthen the constraints of

responsibility objectives. Non-independent director Zhou Zixue Male √ √

Independent director Zhao Jun Male √

Key Performance Independent director Fu Qi Female √

Independent director Pang Baoping Male √

In 2024 the Company paid a total of 1883.97 CNY 10000 in remuneration to directors and

senior management. Information Disclosure

JSG strictly follows the Company Law of the People's Republic of China Securities Law of the People's Republic

of China Measures for the Administration of Information Disclosure by Listed Companies and other laws and

regulations and formulates the "Information Disclosure Management System" and other systems to proactively

disclose the relevant information in a truthful accurate timely fair complete and effective manner effectively

Independence and Diversity guard against the risk of information disclosure and adequately safeguard the shareholders' right to know in

particular the small and medium-sized shareholders. Since its listing the Company has consistently achieved an

JSG in accordance with relevant laws and regulations and the Articles of Association has established governance "A" rating in the Shenzhen Stock Exchange's annual information disclosure assessments for 11 consecutive years

systems such as the Independent Director Work System and the Special Meeting Work System for Independent reflecting its professionalism and the high recognition of its governance practices by regulatory bodies.Directors to promote the diversity and professional balance of the Board of Directors. The members all possess

rich industry experience and professional capabilities in engineering accounting law and other fields ensuring All information that needs to be disclosed is announced through the designated information disclosure media

the comprehensive governance and insight ability of the Board of Directors making reasonable decisions Securities Times and CNINFO (www.cninfo.com.cn).improving risk response capabilities protecting investors' interests and enhancing the professionalism of

corporate governance. Key Performance

In 2024 the Company disclosed 71 announcement documents including 4 regular reports

Key Performance and there were no incidents of violations of information disclosure regulations resulting in

penalties.In 2024 the Company's Board of Directors consists of 9 directors including 3 independent The Company has received an "A" rating for annual information disclosure from the Shenzhen

directors and 2 women directors. Stock Exchange for 11 consecutive years.

25 262024 Environmental Social and Governance (ESG) Report

Protecting Investors' Rights and Interests Risk Management

JSG has established internal systems such as the Investor Relations Management System based on laws and

JSG strictly always attaches great importance to enterprise risk prevention continuously improves its corporate

regulations like the Guidelines for Investor Relations Management of Listed Companies and the Guideline No. 2 for

governance structure enhances its risk management systems establishes a sustainable and regular risk

the Self-Regulatory Supervision of Listed Companies on the Shenzhen Stock Exchange - Standard Operation of

management operation system clarifies responsibilities and powers at all levels of risk management sets up a

Companies Listed on the GEM . It continuously improves public fair transparent and multi-dimensional investor

complete risk management process and takes effective measures to prevent and resolve all kinds of risks to ensure

communication channels and actively engages in communication and interaction with investors showcasing its

the steady and sustainable development of the Company.core competitiveness and comprehensive influence to the vast investors.Risk management process

Investor communication activities

Risk Risk Target Risk Risk Risk

identification assessment setting control supervision governance

Regular 01 02 03 04 05 06Media

reports and interim One-to-one Performance Annual report Telephone

communication interviews and announcements briefing briefing consultation coverage

General Case

Meeting of

Shareholders On-site visit Roadshow

Company Analyst

website meeting Holding a management system release meeting to continuously improve the Company's

management

In September 2024 the Company held the 2024 Management System Release Conference. Nearly 200

attendees were present including the Company's chairman vice presidents other executives experts

system leaders subsidiary management teams core group cadres and representatives from subsidiary

process system departments. The conference marked the official release of the upgraded management

system which not only encompasses the Group's headquarters' management functions but also integrates

The Company always attaches great importance to investor returns. Based on the profit distribution policy of subsidiaries under unified management. The newly added risk identification and management mechanisms

the Articles of Association and relevant regulations it establishes a continuous stable and scientific return further promote optimal resource allocation and efficient collaboration within the group achieving

mechanism for investors through share repurchase increased cash dividends and optimized dividend timing. comprehensive integration from strategic planning to daily operations.It shares development achievements with investors protects the interests of all shareholders strengthens the

market's confidence in the Company's sustainable and high-quality development and safeguards the legitimate

rights and interests of long-term investors.Key Performance

Since the year of listing the Company's cash dividend rate has been maintained at over 20% with a

cumulative dividend amount exceeding CNY 3.2 billion (including the 2024 profit distribution).

2024 management system release conference

27 282024 Environmental Social and Governance (ESG) Report

Potential risks

???Response Measure

Industry fluctuation risk

The company adheres to a dual wheel drive R&D model of technological innovation and deep exploration of customer

???Potential Risk needs and has established a complete R&D control system from design and production process improvement

product certification testing project development application and other aspects. By strengthening research on

The company's main business products include emiconductor equipment semiconductor substrate national industrial policies and industry development trends continuously paying attention to industry development

materials and semiconductor consumables & components. There is a risk of cyclical fluctuations due to directions and technological frontiers collecting and analyzing customer needs market dynamics competitive

the impact of terminal industry demand and industry policies in the semiconductor industry. enterprises and new product and technology information and based on this studying and determining the goals

directions and path planning of the company's new product research and development actively cultivating reserving

???Response Measure and introducing high-level R&D technical talents ensuring the sustainability of the company's R&D innovation.The company adheres to technological innovation actively extends the product categories in the

semiconductor equipment subdivision field by continuously increasing the research and development

efforts of new products expands the semiconductor substrate material business with broad market Risk of loss of technical personnel

demand and development prospects prospectively lays out the domestic replacement market for

core consumables and key components in the semiconductor industry chain gradually improves the ???Potential Risk ???Response Measure

supporting system of the industry chain products diversifies business development to reduce the impact The company has a group of core technology and R&D The company integrates the development of the

of industry fluctuations on the company's performance and continuously improves the company's core personnel with rich industry experience and innovative company and its employees by building a good

competitiveness and risk resistance ability. capabilities. They have a deep understanding of the career development platform for technical talents

growth and processing technology of hard and brittle strengthening corporate culture construction

materials which is the foundation for the company's improving the salary incentive system and

Market competition risk continuous technological and product innovation. continuously implementing equity incentives in

The demand for high-end technical talents in the order to attract and recruit talents and maintain

???Potential Risk semiconductor industry continues to be scarce and the stability of the talent team. The company signs

the competition for talents among manufacturers is a confidentiality agreement with its key technical

The semiconductor industry has broad development prospects. With technological progress and the gradually intensifying. If a large number of core technical personnel to clearly define non compete obligations

continuous improvement of the industrial chain ecology there are more and more new entrants in various personnel are lost it may lead to the diffusion of the and responsibilities in order to minimize or

links such as equipment materials consumables and components. In addition the leading enterprises in company's core technology thereby reducing the eliminate the loss of key technical personnel and

the industry have implemented an integrated strategy based on their brand scale technology and other company's technological advantages and innovation the resulting risk of technology diffusion.advantages extending and expanding upstream and downstream of the industrial chain. The competition capabilities and ultimately affecting the company's

in the industry continues to increase. business development.???Response Measure

The company continues to pay attention to the development of cutting-edge technology in the industry

grasp the development trend of the industry make a forward-looking layout and reserve according to its Order fulfillment risk

own research and innovation constantly launch innovative products continue to maintain the high quality

and progressiveness of the company's products strengthen technical services achieve cost reduction and ???Potential Risk ???Response Measure

efficiency increase for customers ensure and gradually improve the market share of core products and

constantly improve the company's comprehensive competitiveness. The PV industry is subject to short-term cyclical In the process of market development the company

fluctuations and downstream customers of the strengthens due diligence and other channels

company may adjust the progress of expansion to understand the business situation of target

Technology R&D risk projects based on their expectations of the customers focusing on developing large and high-industry situation and their own development quality customers with large scale strong operating

situation. There is a certain degree of uncertainty strength and good financial conditions. The current

???Potential Risk in the execution of contracts that have been signed order customers are mostly industry leaders and

The industry in which the company operates is technology intensive. The company has been focusing on the between the company and customers but have not competitive listed companies or large enterprises.research and development production and sales of semiconductor equipment materials consumables and yet been fulfilled. Some downstream customers At the same time the company implements strict

components for many years emphasizing independent research and technological innovation and combining may cancel orders or request delayed delivery customer credit management system signs

market demand orientation with forward-looking forecasting for product development. With the continuous and payment and the company has the risk of standardized commercial contracts implements

improvement of industry technology the requirements for products are constantly increasing. If the company unfulfilled orders. stable account term management continuously

cannot quickly launch new products that meet market demand according to the plan it may affect the market tracks customer financial status strengthens

competitiveness of the company's products and have a negative impact on the company's business development. collection and reduces order fulfillment risks.

29 302024 Environmental Social and Governance (ESG) Report

Business Ethics Equal Treatment of SMEs

JSG strictly complies with relevant regulations and upholds the integrity management principles and places high importance

JSG places a high emphasis on adhering to principles and norms of business ethics throughout its production on collaborations with small and medium-sized enterprises (SMEs). Through sound internal management a rigorous supplier

operation and management processes insists on fair competition and strictly carries out anti-corruption management system and a robust financial framework the Company ensures timely payments to SMEs. In 2024 there were

management. JSG actively constructs an integrity and ethics system using self-examination public supervision no instances of overdue payments to SMEs reflecting the Company's support for these enterprises and highlighting JSG's

and oversight from other relevant parties to ensure lawful and compliant operations. The Company also continues efforts in maintaining good commercial reputation and promoting collaborative development within the industry chain.to carry out integrity publicity education and training to enhance employees' awareness of integrity and lay a solid

foundation for building a transparent and fair business environment. Integrity in Professional Conduct

JSG's integrity and ethics system JSG strictly adheres to laws regulations and the requirements of securities markets and regulatory bodies.The Company has established and publicly disclosed management systems such as the Anti-Corruption Policy

designating the Board of Directors as the highest supervisory authority on anti-corruption matters. The Internal

Employees：Caring and respect，Establish a platform for value creation and sharing Audit Department operates as a permanent institution collaborating with the Regulation Office and variousfunctional departments to form a comprehensive organizational structure. Through the implementation of

specific internal control procedures and mechanisms JSG effectively prevents and addresses fraudulent activities

Supplier：Establish a partner supply chain strengthens integrity and compliance governance reduces operational risks and standardizes business conduct

Corporate thereby providing a strong foundation for the Company's steady development.integrity and Customer：Respect each other abide by integrity respond quickly exceed

ethics system customer needs and achieve win-win results Organizational structure and responsibilities of anti-corruption management

Society：Develop JSG's business Contribute to the society Oversees the development and implementation of anti-corruption and anti-

Board of Directors bribery policies ensuring alignment with legal regulations and corporate

Shareholder：Effectively protect the interests of shareholders especially those governance standards.of minority shareholders

Manages anti-corruption and anti-bribery efforts reviews and supervises

Fair Competition Audit Committee the effectiveness of the anti-corruption management system and related

policies and reports findings to the Board of Directors.JSG is committed to establishing transparent cooperation relationships with upstream and downstream suppliers and

partners. In business operations it practices the principles of fairness justice and openness opposes unfair competition

behaviors like price monopolies. In 2024 the Company has no negative incidents that violate fair competition. A dedicated body under the Board responsible for tasks such as anti-

Audit Department corruption audits handling reports and conducting investigations. It

The Company advocates for compliance in its promotional activities continually standardizing the process of brand regularly updates the Audit Committee on audit results and reported cases

information release to ensure accuracy timeliness and compliance. The Brand Promotion Department has developed and to ensure effective policy enforcement.implemented the Brand Promotion Information Release Management Process assigning specific responsible persons for

planning execution inspection and analysis to ensure the standardization of external brand communications. Regulation Office：Ensures the enforcement of decisions regarding responsible

personnel maintaining accountability within the organization.Additionally JSG regularly conducts training on anti-unfair competition laws and regulations for its employees to strengthen Functional departments ：Each department is responsible for its own anti-

compliance awareness. In 2024 the Company improved the Partner Integrity Cooperation Agreement continuously Regulation Functional corruption initiatives monitors compliance among its members and

promoted transparency in business activities and fostered a fair competitive business environment thereby solidifying its Office departments collaborates with the Audit Department and other relevant bodies to uphold

role as a defender of sound market economic order. anti-corruption standards.

31 322024 Environmental Social and Governance (ESG) Report

?Anti-corruption risk audit Integrity promotion and training

The Company strengthens anti-corruption management by conducting audits and corruption risk assessments The Company actively fosters an anti-corruption corporate culture clearly defining the red lines of corruption

across all business departments focusing on business ethics enhancing internal controls and ensuring external behavior to employees. Upon hiring the Company signs an Integrity Commitment with employees and conducts

oversight to prevent corruption. Annual audits target high-risk areas while other departments perform self- anti-corruption training for new employees. In addition the Company regularly conducts effective communication

assessments ensuring comprehensive coverage of all operational aspects over a three-year cycle with continuous and training on the Company's anti-corruption policies procedures relevant measures and regulations in various

auditing throughout the year. forms such as the release of employee handbooks company rules and regulations publicity announcements on

the local area network warnings of negative incidents and special training on clean and honest work to ensure

that there are no acts of improper transfer of benefits in the Company's business activities.?Whistleblowing and whistleblower protection mechanism

The Company has established and improved a mechanism for reporting corruption set up reporting channels Case

such as hotlines emails and anonymous mailboxes to encourage all internal and external stakeholders of the Carrying out training on the interpretation and prevention of duty-related crimes and

Company to promptly contact the Company when they discover any fraudulent behavior by the Company's strengthening the construction of the Company's integrity culture

employees or partners. The Company stipulates that investigators should strictly keep confidential the identity

information of whistleblowers and the content of their reports during and after the investigation process and

shall not disclose the relevant materials of whistleblowers of fraud and the investigation without authorization In 2024 the Company conducted training activities on the interpretation and prevention of occupational crimes. Through

(except for publicly announced information). Any act of retaliation is strictly prohibited. Those who violate the the analysis of real cases and the promotion of laws and regulations employees gained a deep understanding of the

regulations by disclosing information or taking retaliatory actions against whistleblowers or investigators will be seriousness and harmfulness of occupational crimes. This training made employees remain alert in their thoughts realizing

severely punished and measures such as dismissal and termination of the labor contract will be taken. If the law that integrity in professional conduct is not only a company requirement but also the legal bottom line. This activity

is violated the case will be transferred to the judicial authorities for handling. strengthened the Company's integrity culture construction and enhanced employees' awareness of the rule of law.JSG's Integrity Practice Complaint Channel

Online reporting channel JSG WeChat official account

Whistleblowing hotline 0571-89905290（ext. 8081） Integrity training

Key Performance

Whistleblowing email ia@jsjd.cc

In 2024 the Company had no anti-corruption reporting incidents conducted one practice with

integrity and anti-corruption training and the employee coverage rate of anti-corruption training

Audit Department of Zhejiang Jingsheng Mechanical

Address of complaint by letter or reached 100%Note.& Electrical Co. Ltd. No. 500 Shunda Road Linping

in person

District Hangzhou City Zhejiang Province

Note: All employees in 2024 were full-time staff; the Company did not employ outsourced part-time or intern personnel.

33 342024 Environmental Social and Governance (ESG) Report

Organization chart of information security system

Privacy and Information Security

Board of Directors

JSG strictly abides by laws and regulations such as the National Security Law of the People's Republic of China

and the Cybersecurity Law of the People's Republic of China has formulated systems like the Information Security

Management Manual Information Security Audit Management and Control Procedure and added management

files such as Confidential Area Management and Control Procedure Information Data Management and Control Information Security Management Committee

Procedure and Baseline Security Management and Control Procedure etc. It has continued to build an information

security management system and established an information security management system model to safeguard

information privacy and security against ISO 27001. Information Security Working Group

Information security management system model

To strengthen information and data security the Company has adopted a multi-dimensional strategy to

comprehensively enhance the level of information security protection. At the management level the Company has

formulated documents such as the Information Data Management and Control Procedure the Baseline Security

Management and Control Procedure and the Information Security Emergency Response Process . In terms of

technical protection the Company has deployed a file encryption system and is in the process of implementing

Planning a network access control system. Moreover the Company has taken measures to improve employees' awareness

of information security. These measures include providing information security training for new employees using

Establishment promotional posters for publicity setting up computer screensavers as reminders and regularly conducting

information security-themed publicity on the intranet.Maintenance and Implementation

improvement and operation

Disposal Implementation

Inspection

Monitoring and

review

The Company has established an organizational structure for information security management forming a three- Screensaver reminder Fraud prevention promotion

tier structure of "Board of Directors-Information Security Management Committee-Information Security Working

Group" with the Chairman of the Board of Directors and the Vice President of Operations serving as the Director The Company has planned and implemented the JSG Security Service Implementation Plan comprehensively

of the Information Security Management Committee (ISMS) and the Executive Deputy Director of the ISMS tested the Company's network security protection capabilities improved the monitoring and emergency response

respectively. This leadership drives the heads of multiple departments such as the R&D Center Sales Center and IT abilities for network security incidents and continuously refined an information security management system and

Department along with security officers to collectively promote privacy and information security work. operational system that adapts to business development and meets the needs of secure growth.

3536

Stakeholders Information security management

Stakeholders Information security requirements and expectations2024 Environmental Social and Governance (ESG) Report

Network security penetration project with "four major measures and nine tasks"

Phase 1: Phase 2: The Company strictly complies with the requirements of the Personal Information Protection Law of the People's

Republic of China the Data Security Law of the People's Republic of China and the Cybersecurity Law of the

Investigation and cleanup of data leakage channels Simulation of malicious attacks People's Republic of China strengthens the management of data compliance and carries out compliance risk

assessment compliance review and compliance training for the collection use transmission and handling of the

privacy of its employees visitors and partners in the course of its daily operations so as to safeguard the privacy

Task One: Security policy verification Task Four: Data exfiltration test and information security of the Company and its customers.Task Two: Failure detection Task Five: Attacker team evaluation

Task Three: Penetration test Task Six: Sensitive information collection

Phase 3: Phase 4:

Normal security Other security

Task Eight: Full traffic threat detection

Task Seven: Consulting and planning

Task Nine: Emergency response

The Company enforces strict data control conducts daily data security inspections to assess potential risks in data

storage transmission and processing promptly identifies and fixes vulnerabilities and establishes systems such

as Data Backup Strategy Execution Form and Data Backup and Recovery Registration Form to prevent data loss or

damage due to hardware damage software failures human errors virus infections etc. thus ensuring the security

and integrity of the Company and customer data. Information security training site

Data security inspection content

Key Performance

In 2024 the Company had

0 data security incidents and 0 customer privacy disclosure incidents

Data Type Inspection Content In 2024 the Company conducted 12 information security trainings for new

employees and 6 special trainings on information security and privacy protection

Data stored in data server Data centers servers storage devices etc.published 23 information security tips on the corporate website

File sharing and virtual machine

Business data

business system data

produced 10 roll-up copies for information security awareness promotion.Backup data Backup data of various business systems

37 382024 Environmental Social and Governance (ESG) Report

2 Environmental Compliance Management 41 Addressing Climate Change 48Green Industry Development 43 Efficient Resource Utilization 51

Meeting a Green and

Flourishing Future

JSG aims to To become a leading equipment supplier of semiconductor materials

to facilitate high-tech industry development for green intelligent manufacturing.The Company is well aware that environmental management is fundamental and

actively responding to climate change is its responsibility. It pays close attention

to the efficient utilization of water resources and energy fully promotes green

operations and protects biodiversity and ecosystems. JSG also continually

strengthens environmental awareness among all employees steadfastly advancing

toward sustainable environmental and business development.

39 402024 Environmental Social and Governance (ESG) Report

Environmental Compliance Management Environmental Management Index 2022 2023 2024 Objective Achievement Achievement Achievement

Recycling utilization rate of

≥80%82%86%85%

Environmental Protection Law of the People's Republic of general solid wasteJSG strictly adheres to laws and regulations such as the

China and the Fire Protection Law of the People's Republic of China as well as environmental laws relevant to the

countries or regions where it operates. With reference to international standards such as ISO 14001 environmental Three-waste emission compliance 100% 100% 100% 100%

management system the Company has established an Environment Health and Safety (EHS) management rate

system and an EHS management team formulated the EHS Environmental Management Manual to define its

environmental management philosophy and policies and established a sound environmental management system Solid waste disposal compliance 100% 100% 100% 100%

to continuously reduce the impact of company operations on the environment. rate

Identification of important

environmental factors and 100% 100% 100% 100%

effective control rate

Major environmental pollution

Environmental management philosophy Environmental management policy 0 0 0 0accident

* Establish green concepts * Comply with environmental regulations

* P romote clean production * F ully participate in control Administrative punishment for 0 0 0 0

* F acilitate high-tech industry development for * P revent environmental pollution environmental protection

green intelligent manufacturing * C ontinuously improve environment

* Achieve sustainable development of

environment and business To manage environmental risks effectively JSG has developed management systems such as the Emergency

Plan for Environmental Pollution Incidents . The Company advances environmental protection infrastructure

monitoring and emergency management and employs environmental impact assessments to identify evaluate

and prevent environmental risks across all subsidiaries supporting the Company's green and sustainable

JSG practices clean production implements green concepts sets environmental management objectives based development.on its own development characteristics and tracks and inspects the achievement of the targets every year. The

Company decomposes tasks to involve all employees in environmental control and energy-saving initiatives.This approach ensures the effective operation of the environmental management system and includes assessing Key Performance

suppliers' environmental protection efforts to collaboratively enhance the environment and build a green low-

carbon industrial ecosystem.In 2024 JSG conducted internal environmental risk audits identifying 29 minor issues all of which were

rectified achieving a 100% correction rate.

2024 environmental management objectives and achievements

Environmental Management 2022 2023 2024

Objective Index Achievement Achievement Achievement The Company attaches importance to the compliance standardization and leadership of its environmental

management system. While obtaining ISO 14001 Environmental Management System and ISO 50001 Energy

Clean energy utilization rate ≥ 60% ≥ 60% ≥ 60% ≥ 60% Management System certifications it continuously promotes the construction of a standardized environmental

management system across the entire plant area. Additionally three subsidiaries achieved ISO 14001 certification

Recovery rate of total recyclable

≥ 80% 80% 82% 81% and JSG has been rated as a unit with an A-level environmental protection credit rating by the Department of

waste Ecology and Environment of Zhejiang Province for several consecutive years.

41 422024 Environmental Social and Governance (ESG) Report

Leading PV Equipment Supplier with Technological and Scale

Advantages

JSG's core business lies upstream in the green energy industry chain. Leveraging its capability to supply core

PV equipment across the entire industry chain - from silicon wafers and cells to modules - and its advantages in

automation and consumables the Company continues to drive industry cost reduction efficiency improvement

and technological upgrades through innovative products. JSG leads and deepens collaborations across the

upstream and downstream industrial chains promoting the co-construction of a green industrial ecosystem.ISO 14001 Environmental Management System Certificate Monocrystalline

Poly-silicon Silicon wafer Cell Modules

silicon ingot

ISO 50001 Energy Management System

Certificate

Silicon Silicon wafer

Pre&Sep&Final cleaning

growth Cropper Squarer Grinder Slicer sorting and boxing

integrated machine

equipment equipment

Green Industry Development

JSG is committed to its mission of "To become a leading equipment supplier of semiconductor materials PECVD(POLY) Diffusion (anneal) ALD

to facilitate high-tech industry development for green intelligent manufacturing" focuses on a sustainable

development strategy driven by the dual engines of "advanced materials" and "advanced equipment" and

continually enhances its collaborative industrial layout of "equipment + materials". By increasing investment

in technological innovation JSG aims to improve the autonomy and controllability across the entire supply Module equipment

chain of semiconductor components and consumables. The Company strives to achieve digital and intelligent Dryclean EPD

connectivity among its equipment offering customers with comprehensive intelligent factory solutions that

integrate automation digitalization and AI big data all within a green and low-carbon development model

driven by clean energy.

43 442024 Environmental Social and Governance (ESG) Report

Key achievements Key achievements

At the beginning of 2024 the Company set a goal of pursuing progress while ensuring stability clean Fully-automatic mono crystal puller and series products:

Recognized as a "Single Champion Product" in manufacturing by the Ministry of Industry and Information Technology;

technology investment (i.e. R&D investment) in combination with the overall plan of R&D work for the year L isted as a national key new product by four ministries.which was successfully achieved by the end of the year. The full-automatic mono crystal puller a core Fully-automatic PV mono crystal puller:

process equipment in the PV industry chain produced by the Company has cumulatively reduced Internationally leading in both technology and scale.greenhouse gas emissions by 400 million tons of CO2 equivalent annually.?Cell segment: Differentiated innovation driving efficiency breakthroughs

Note: The value was calculated based on the Announcement on the Release of 2022 Electricity Carbon Dioxide Emission

Factors issued by the Ministry of Ecology and Environment and National Bureau of Statistics of the People's Republic of China The company has focused on advancing high-efficiency battery technologies and successfully developed a series

(Announcement [2024] No. 33) the Construction and Operation of PV Power Generation in 2021 and Construction and Operation

of PV Power Generation in 2022 published by the National Energy Administration the annual average power generation per GW of core equipment including PECVD (Plasma-Enhanced Chemical Vapor Deposition) diffusion furnaces annealing

of installed PV capacity obtained according to the Cumulative Solar Power Generation in 2022 published by the National Bureau systems single-chamber multi-boat ALD (Atomic Layer Deposition) equipment and edge passivation devices

of Statistics as well as the expandable PV installed capacity mentioned earlier. (EPD) for cell cutting. Notably the tubular coating equipment compatible with both BC (Back Contact) and OPCon

(Optimized Passivated Contact) technology routes along with the EPD devices have achieved differentiated

competitive edge in performance through innovative design and process optimization.?Silicon wafer segment: Technological leadership driving industry transformation

Case

As a global leader in the supply of full-automatic monocrystalline silicon growth furnaces JSG offers products such JSG's cell cutting edge passivation EPD equipment received 10GW batch order

as full-automatic crystal growth equipment crystal processing equipment wafer processing equipment and wafer

sorting and testing equipment. These products enhance efficiency and yield through highly integrated automation

establishing a comprehensive core equipment system for the entire silicon wafer manufacturing process and In 2024 the bat ter y cut t ing edge pas sivation EPD

continuously leading technological iterations in the industry. equipment developed by the Company received a bid-

winning notification from a top 5 solar cell manufacturer

securing the first 10GW batch order. The Company has

Introduction to silicon wafer products and equipment developed innovative EPD technology in collaboration with

the customer and adopted an industry-first airflow method

to shorten airflow paths and increase exchange rates.Wafer processing and The pure ALD mode effectively repairs cell cutting surface

Crystal growth Crystal processing

inspection damage and extends the lifecycle of TOPcon products.Full-automatic mono Ring cropper circular Pre&Sep&Final cleaning ?Module and consumables segment: Intelligent whole-line solutions

crystal puller diamond wire squarer integrated machine

rounding and grinding silicon wafer sorting and

From the module perspective the Company has developed a production line for module equipment that includes

integrated machine boxing equipment etc.multiple processes such as string welding machines layout machines automatic frame loading machines and

diamond wire slicer etc.glue dispensing testers. Its innovative de-silvering module equipment significantly reduces silver consumption in

the module production process greatly lowering production costs. Additionally the continuous development of

the PV industry has rapidly increased the demand for consumables. JSG innovatively develops high-quality quartz

crucibles by optimizing crucible dimensions purity and crystal pulling time to reduce consumable costs in silicon

wafer production. The Company also leads tungsten wire diamond wire technology breaking through carbon steel

wire diameter limits to meet the cutting needs of large-size and thin silicon wafers.

45 462024 Environmental Social and Governance (ESG) Report

Provider of Comprehensive Green and Intelligent Factory Case

Solutions Showcasing intelligent factory solution for the entire industry chain at SNEC Exhibition

JSG leverages cloud computing and big data applications to achieve automation and intelligence across its equipment In June 2024 JSG participated in the 17th SNEC (2024) International Photovoltaic Power Generation and

chain. By focusing on integrating the industrial digital brain of future factories with intelligent manufacturing bases Smart Energy Conference & Exhibition showcasing its intelligent factory solution for the entire PV industry

JSG offers clients comprehensive intelligent factory solutions based on differentiated competitive strategies. It also chain". The Company offered clients new perspectives on green efficient and intelligent development

continues to lead industry innovation by introducing highly intelligent products such as the ring cutter Pre&Sep&Final through lean manufacturing digitalization and AI big data solutions. This initiative supports the PV

cleaning integrated machine and silicon wafer sorting and boxing equipment. These innovations through highly industry's transition from manufacturing to intelligent manufacturing promotes digital transformation in

integrated automation enhance efficiency and yield reduce costs and support clients' green efficient intelligent and PV manufacturing and contributes to global energy transformation.sustainable development. This in turn drives the global PV manufacturing industry's shift towards intelligence and

sustainability contributing to the realization of "carbon peaking and carbon neutrality" goals.JSG's intelligent solution

Automated and informational

factory Digital factory Intelligent factory

The Company presented at the SNEC Exhibition booth Communication and negotiation with customers at the

Equipment interconnectivity Data visualization and process Automated behavior and decision exhibition site

achieves data uploading transparency making based on predictive

capabilities

Addressing Climate Change

In the face of global climate change challenges JSG regards addressing climate change as a fundamental

responsibility. The Company actively aligns with national "carbon peaking and carbon neutrality" strategies

Description Diagnosis Forecast practices green development concepts and integrates climate change considerations into corporate strategies and

decision-making processes. Guided by standards such as the Guidelines No. 17 of the Shenzhen Stock Exchange

for the Self-regulation of Listed Companies - Sustainability Report (Trial) of Shenzhen Stock Exchange and the

Guidelines No. 2 International Financial Reporting Sustainability Disclosure Standard – Climate-Related Disclosures

Advantages of intelligent solution

published by International Sustainability Standards Board JSG identifies and addresses climate-related risks and

opportunities. The Company employs multiple measures to reduce greenhouse gas emissions enhance climate

From an innovation perspective JSG collaborates with downstream strategic customers in areas such as resilience and promote a green low-carbon industrial transformation.product technology process automation and intelligent manufacturing models:

?Strengthening climate governance

Integrated products: Achieve internal intelligent integration within equipment;

To effectively address climate change JSG has incorporated climate governance into its Environmental Social

and Governance (ESG) framework. The Company has established an ESG governance structure that clearly defines

Integrated factories: Enable intelligent integration between equipment and integration of production the responsibilities of various organizational levels in addressing climate change. This structure operates under a

processes. management framework of "Board oversight Strategic and Investment Committee management and ESG Working

Group execution" aiming to enhance the proactivity and sustainability of climate actions.

47 482024 Environmental Social and Governance (ESG) Report

?Identifying risk and opportunity Risk Category Description Response Measure

In compliance with both domestic and international standards JSG systematically reviews its environmental The implementation of

performance. Considering its business operations and industry characteristics the Company classifies climate- regulations like the Shenzhen

related risks into transition risks associated with the shift to a low-carbon economy and physical risks stemming Stock Exchange's "Guidelines" P ay attention to policies and regulations related

from climate change impacts. JSG has identified and analyzed potential significant risks and opportunities sustainable regulations in to climate change formulate climate response

enhancing its adaptability and resilience to climate change. Europe the US and other Policy risk strategies and collect greenhouse gas emission

regions as well as carbon data every year to effectively respond to policy

footprint requirements has changes.raised the standards for

Risk Category Description Response Measure information disclosure and

carbon management.Extreme weather such as

typhoons high temperatures S eize opportunities in clean technology actively

flooding etc. with increased Develop emergency response plans to minimize Customers are increasingly

develop green low-carbon products and

Transition

frequency and severity inclined to choose products proactively meet customers' ESG requirements losses from natural disasters. risks

may damage buildings Conduct regular infrastructure maintenance to Market risk from companies with strong for suppliers and product supply.at production and office bolster resilience against extreme weather. ESG records and are raising A ddress climate change as a key topic and

operation sites affecting requirements for suppliers. communicate with stakeholders through

normal production operations. sustainability reports stakeholder surveys etc.I mprove equipment efficiency enhance product

Failure to identify and

Focus on employee life health and safety manufacturing efficiency and continuously

Extreme weather like typhoons adopt green low-carbon provide protective gear for employees and equip build recognized environmental and energy

high temperatures and technologies in a timely

personnel working in high temperatures with Technology management systems both domestically and

flooding may affect employee manner may result in outdated

Acute risk cooling devices. risk internationally.commuting safety thereby product carbon performance

Implement extreme weather alerts and offer P romote green low-carbon design and

impacting normal production potentially reducing product

training on health safety and climate change application in products to enhance green R&D

Physical operations. value or losing orders.awareness to enhance risk response capabilities. capabilities.risk

Rely on existing circular pickup routes and real-

time monitoring systems to actively track weather

Extreme weather may affect forecasts for supplier locations and areas along Opportunity Climate Change Opportunity Opportunity Response

supply chain stability and routes; develop emergency plans for business Type Description

disrupt normal production and disruptions due to weather events like typhoons The market demand for energy S eize the clean technology opportunities launch

delivery. and use AI algorithms to predict transportation conservation and emission various green products and provide customers with

risks dynamically adjust pickup routes and Market reduction is rising leading to an auto + digital + AI big data solutions driving the

reduce risks of sudden supply interruptions. opportunity increase in demand for low-carbon global PV manufacturing industry's smart and green

products. development to meet market demands.Global warming rising sea Continuously monitor operational site risks

levels and other climate conduct proper planning and risk management Reduce fossil energy consumption E xpand the use of renewable energy such as PV

Chronic anomalies pose challenges to for new project site selection construction and Energy increase the use and proportion introduce smart energy management systems to

risk long-term and stable business daily operations considering chronic climate management of clean energy and continuously assist in the Company's energy usage structure

operations. change risks. optimize the energy structure. transformation.

49 502024 Environmental Social and Governance (ESG) Report

Opportunity Climate Change Opportunity Energy Management

Opportunity Response

Type Description

The energy consumed by the Company includes diesel gasoline and purchased electricity with electricity

Plan emergency response measures for natural

Deploy plans in advance to address being the primary energy source. To continually reduce energy consumption and improve energy efficiency the

disasters and climate change and conduct capacity-

Climate change climate change mitigating and Company has established the Energy and Resource Management Specification set energy-saving targets and building activities to increase business operation

adaptation avoiding financial losses caused by actively engaged in various energy-saving activities. Measures such as equipment replacement process upgrades stability and earn customer recognition and long-

climate risks. and prioritizing clean energy adoption are implemented to achieve emission reduction goals promote energy

term partnerships.structure transformation and foster harmonious development between the Company and the environment.JSG's energy-saving and consumption-reduction action strategy

?Climate change indicators and targets

Energy saving in production: Prioritize energy-efficient and low-energy auxiliary equipment. In 2024 projects like

As a leading high-end equipment manufacturing enterprise in the international PV industry JSG actively responds "Plate Heat Exchanger Cooling" and "Cooling Water Dehumidification" were initiated to enhance energy efficiency.to and promotes the achievement of national "carbon peaking and carbon neutrality" goals. The Company takes Energy saving in operation: Eliminate the diesel forklifts to reduce diesel usage and give priority to electric

on the responsibility of advancing green development conducting greenhouse gas (GHG) inventories based on vehicles for business travel to reduce gasoline consumption.domestic and international accounting standards and setting targets of carbon peak by 2030 and carbon

neutrality by 2055 with 2022 as the baseline year. These targets guide future measures to reduce GHG emissions. Energy structure optimization: Continuously increase the proportion of clean energy used by expanding power

generation systems and implementing PV projects.Greenhouse gas emissions

Case

Category Unit 2022 2023 2024 Carrying out equipment energy-saving improvement project to help reduce emissions and

Total greenhouse gas emissions tCO 146478 276046 308561 consumption2

Greenhouse gas emission intensity tCO /CNY10000 revenue 0.14 0.15 0.18 In 2024 Jingyu New Materials implemented the 2

smart energy efficiency enhancement projects

of "Plate Heat Exchanger Cooling" and "Cooling

Note: 1. It contained the GHG emission in JSG's operation and production in 2022 2023 and 2024; 2. The value was calculated Water Dehumidification" establishing a low-

based on the "Notice on the Management of Greenhouse Gas Emission Reporting for the Power Generation Industry from carbon refrigeration model through dual-path

2023 to 2025" issued by the Ministry of Ecology and Environment of the People's Republic of China (HBQHH [2023] No. 43) transformation. From December to March each

the "Guidelines for Greenhouse Gas Emission Accounting and Reporting for Electronic Equipment Manufacturing Enterprises

(Trial)" and the "Guidelines for Accounting Methods and Reporting of Greenhouse Gas Emissions for Machinery and Equipment year the 296kW plate heat exchanger system

Manufacturing Enterprises (Trial)". replaces the 772kW ice machine improving

unit e ne r g y e f f ic ie nc y by approx imate ly

2 . 6 t i m e s a c h i e v i n g g r a d i e n t e n e r g y

efficiency optimization. The "Cooling Water

Dehumidification" project active in April May

Efficient Resource Utilization October and November saves 200kW of cooling

power and 100kW of electric heating power.Upon project completion annual electricity

savings of 1.76 million kWh are achieved Energy-saving improvement projects of "Plate

JSG is committed to promoting efficient resource utilization by regularly monitoring energy consumption equivalent to 557 tons of standard coal reducing Heat Exchanger Cooling" and "Cooling Water

analyzing potential for energy and water savings and implementing energy-saving and emission-reduction CO2 emissions by 1024 tons. Dehumidification"

initiatives. The Company strives to minimize pollutants' impact on air water soil and other environments

effectively enhancing resource efficiency and protecting the ecological environment.

51 522024 Environmental Social and Governance (ESG) Report

Energy consumption PV power generation of the Company (Unit: 10000 kWh) Cumulative PV power generation laying area (Unit:

10000 m2) 11.6

Category Unit 2022 2023 2024 1482

7

Diesel consumption Litre 166056 34710 25526 1038

5

Gasoline consumption Litre 31084 15080 20625

345

Electricity consumption

Category Unit 2022 2023 2024

202220232024202220232024

Purchased electricity Kilowatt-hour

255969990484010108541025999

consumption (kWh)

Operating income CNY 10000 1063831 1798319 1757661

Purchased electricity kWh/CNY10000

240.61269.15307.81

consumption intensity revenue

Floor area of all plants 10000 m 2 89.14 128.88 142.03

Purchased electricity

MWh/10000 m 2 2871.55 3755.51 3809.24

consumption intensity

Building rooftop PV power station

PV Layout

To efficiently promote energy-saving and emission-reduction and optimize energy structure the Company

has fully utilized the existing rooftops and sheds of each factory area to promote rooftop PV power generation

through measures such as building power generation systems and laying PV panels. Currently rooftop distributed

PV power stations have been established in three parks located in Zhejiang Inner Mongolia and other regions Water Resource Usage

to continuously improve energy efficiency and the proportion of clean energy seize the opportunity of clean

technology and continue to explore and apply more green technologies.JSG is committed to minimizing water resource waste. In subsidiaries with high water consumption the

Company sets water usage and conservation targets. Measures such as introducing and improving water

Key Performance

treatment equipment exploring water-saving processes and technologies and optimizing equipment

efficiency are implemented to promote green production. The water resources used by the Company primarily

A s of December 31 2024 the Company had invested a total of CNY74.27 million in PV projects with a total come from municipal tap water and treated recycled/reclaimed water serving the needs of production

16.76 operation and daily life.available PV power generation of million kWh.

In 2024 the Company's PV power generation reached 14.82 million kWh with the PV installation area

exceeding 116000 Water consumption m2 saving 4860 tons of standard coal reducing CO2 emissions by 8623 tons SO2

emissions by about 385 tons and NOx emissions by about 222 tons.Category Unit 2022 2023 2024

F uture plan: In 2025 the Company plans to invest an additional CNY15 million in PV projects and plans to

3

invest a total of CNY 40 million in the next three years for the construction of rooftop PV power generation Purchased municipal water m 922323 3028793 3096422

projects with an expected increase in total available PV power generation of 18.16 million kWh. Consumption intensity of water t/CNY10000

0.871.681.76

resources revenue

53 542024 Environmental Social and Governance (ESG) Report

Case Three Wastes Management

Subsidiary Jingrui Electronic used reclaimed water system to promote water resource recycling

JSG is committed to strict compliance with relevant pollution discharge laws and regulations continually

In 2024 the subsidiary Jingrui Electronic began using a reclaimed water system investing a total of CNY 330000 for improving and refining the management of three wastes. The Company actively invests in and manages waste

the year. The ultrapure water station's waste water and some Class 100 clean water were connected to the reclaimed treatment with dedicated departments overseeing the handling of wastewater waste gas solid waste and

water system producing 300 tons of reclaimed water per day. With stable output it is estimated to save CNY 404800 hazardous waste. Efforts are made to reduce emissions of waste gases wastewater and waste materials while

annually in costs and save up to CNY 3 million wastewater index fees during stable operation periods. using environmentally friendly packaging to promote a circular economy and minimize environmental impact.?Waste water management

The Company has formulated Code of Waste Water Management established a waste water reuse system to collect

and treat various types of waste water. Measures such as equipment upgrades and secondary reuse of treated

waste water are implemented to minimize discharge and reduce environmental pollution. The Company's waste

water primarily consists of domestic and industrial waste water. Domestic waste water originates from office and

residential areas while industrial waste water mainly comes from the use of purified water and the preparation of

concentrated water.Jingrui Electronic reclaimed water system

Key Performance

Case

In 2024 the total waste water discharged by the Company was 1026122 cubic meters and the total

Subsidiary Jinhong Precision launched water conservation project to reduce water resource

consumption volume of recycled waste water was 201212 cubic meters.Currently Jinhong Precision has commissioned a set of reclaimed water facilities with a total investment

of CNY 980000 and a daily processing capacity of 70 tons/day saving an average of 2000 tons of water per

month. The process is as follows: ?Waste gas treatment

???Oxidation line

Designed a system consisting of "raw water collection tank -- The Company's waste gas mainly include acidic organic gases and particulate matter from production processes

neutralization reactor -- multimedia filter -- reverse osmosis as well as vehicle exhaust during operations. The Company has developed the Code of Waste Gas Management and

equipment" producing 5 tons/hour of fresh water in a first-order employed measures like activated carbon adsorption and spray devices to effectively collect and treat production-

two-stage integrated process. related emissions. Additionally the Company actively promotes green commuting by prioritizing the use of

electric vehicles and has installed charging facilities within the plant area to reduce exhaust emissions. These

??? High-conductivity nickel plating line

efforts ensure that emissions during production and daily operations comply with national and local standards

Custom ultrafiltration + reverse osmosis filtration system (first- preventing environmental pollution caused by non-compliant emissions.order two-stage) and a zero discharge concentration system

producing 4.8 tons/hour of fresh water. As the wastewater of the

low-conductivity nickel plating line can be reused after simple 2024 waste gas emission and management

treatment the inflow to the concentration device is estimated at

about 5.25 tons. Emission Category Amount (Total Approved) Concentration

??? Low nickel and air conditioning condensate water

3

The main pollutants in condensate water are particulate Nitrogen oxides ≤ 8.874t/a ≤ 300mg/m

suspensions and metal ions which after simple pretreatment can Water conservation project workflow of Sulfur dioxide ≤ 1.896t/a ≤ 200mg/m3

be reused in the raw water tank of the ultrapure water station. subsidiary Jinhong Precision

55 562024 Environmental Social and Governance (ESG) Report

Emission Category Amount (Total Approved) Concentration

Particulate matter ≤ 1.14t/a ≤ 30mg/m3

Dust ≤ 1.240t/a ≤ 5.0mg/m3

Fluoride ≤ 0.045t/a ≤ 0.3mg/m3

Hydrogen Chloride ≤ 0.545t/a ≤ 3.2mg/m3 Hazardous waste treatment workflow

Non-Methane Total Hydrocarbons ≤ 1.000t/a ≤ 5.0mg/m3

Case

?Waste treatment Ningxia Jingchuang conducted hazardous chemical (MSDS) training to enrich employees' professional knowledge

Adhering to the principles of reduction resource utilization and harmlessness the Company has formulated the In January 2024 Ningxia Jingchuang organized hazardous chemical safety training focusing on the MSDS

Solid Waste Management System and collaborated with qualified third parties to classify and dispose of waste and emergency measures of hazardous chemicals with 162 employees participating in the training with a

materials. Our management practices ensure that environmental monitoring and waste recycling statistics are 100% pass rate in the assessment.conducted scientifically and reasonably maintaining compliance with relevant safety standards to ensure both

compliance and traceability. Additionally the Company offers various training programs to promote the use of

recycling bins and recyclable packaging. These initiatives aim to reduce excessive packaging waste generated

during product packaging and transportation thereby fostering the development of a circular economy and

achieving meticulous management of waste materials.Waste management

Category Unit 2022 2023 2024 Hazardous chemical training site

Total recyclable waste Ton 1800 1500 2062

Total general solid wastes Ton 600 1100 2915 Case

Jingrui Electronics conducted solid waste training to enhance employees' solid waste

Total general solid waste recycled Ton 1200 140 920 compliance awareness

In September 2024 Jingrui Elec tronic's EHS

Key Performance Department organized training for employees

on solid waste classification legal cases current

types of solid waste in the Company and transfer

In 2024 the legal and compliant disposal rate of hazardous waste by all subsidiaries of the Group precautions. A total of 17 people participated in the

reached 100% including 83 types of waste such as waste packaging materials waste cutting fluid training with a 100% pass rate in the assessment.sludge and waste acid totaling 1966 tons.Solid waste training site

57 582024 Environmental Social and Governance (ESG) Report

Green Operation

JSG always integrates the concept of green operation throughout the entire chain of corporate development

driving technological innovation and management upgrades with the original intention of environmental

protection. The Company enhances environmental awareness through systematic energy-saving initiatives

manages energy consumption of office air conditioning and lighting systems implements green office measures

and leverages intelligent manufacturing solutions to establish a digital green logistics network and automated

green production lines. By integrating efficient transportation with low-carbon processes it aims to reduce carbon

emissions across all operations - from daily office activities to manufacturing. This comprehensive approach

contributes to building a green operational system and sets a replicable benchmark for low-carbon transformation Charging stations of the Company Energy-saving promotion banners

in the industry.Case

?Green office management Ningxia Xinjingsheng conducted environmental protection training to enhance employees'

environmental awareness

JSG always adheres to the original intention of environmental protection and adopts measures such as installing In 2024 Ningxia Jingchuang organized three focused annual environmental protection training sessions

fresh air systems waste sorting and paperless office to improve the resource utilization rate of office environment with a total of 128 person-times completing the training. Employees' awareness of environmental

and operation process. The Company has planned a series of specialized training covering in-depth interpretations protection was significantly enhanced allowing them to conscientiously comply with environmental

of environmental protection policies and regulations identification and management of environmental risks and regulations and actively participate in the Company's environmental protection efforts. Frontline

the latest knowledge on environmental protection technologies and processes to enhance the environmental production staff mastered basic operations for hazardous waste collection and storage effectively

awareness and responsibility of all employees. reducing environmental pollution during production processes; all departments increased their focus on

environmental work and environmental management systems were effectively implemented significantly

Green operation measures of the Company improving the Company's level of environmental management.* Install fresh air systems in all * Conduct waste sorting * Reduce printing devices

areas to effectively ventilate implement the "three reductions centralizing to one device per

work areas and improve the and four separations" method floor and promoting double-

working environment and periodically carry out sided printing

environmental inspections

* Stagger air conditioning

* Install charging stations

usage during summer and

in the parks

set temperature controls

Ningxia Xinjingsheng's environmental protection training site

59 602024 Environmental Social and Governance (ESG) Report

?Biodiversity protection Biodiversity protection measures

With the global increase in attention to biodiversity the Company endorses the "Kunming-Montreal Global

Biodiversity Framework" strictly adheres to national laws and regulations such as the Opinions on Further

Strengthening Biodiversity Conservation the Soil Pollution Prevention and Control Law of the People's Republic of

China and the Groundwater Management Regulations. The Company continuously monitors the potential impacts

of its operations and business activities on biodiversity constructs ecological fishponds at operational sites

actively engages in afforestation activities and strives to protect the surrounding ecological environment. Before Implement tree planting and carry out green Develop ecological landscape belts renovate

establishing manufacturing facilities the Company conducts environmental assessments in accordance with laws environmental work ecological fishponds and use filtration

and regulations to ensure that subsidiaries are not located within ecological red lines and that there are no nearby systems to improve water quality

natural reserves. In 2024 the Company did not identify any significant adverse impacts on biodiversity.?Intelligent and green lean manufacturing

The Company adheres to the green circular development strategy of "carbon peaking and carbon neutrality"

continuously optimizing and innovating the full-chain management of production and supply based on lean

manufacturing principles. It aims to transform "silo operations" into "continuous flow" by implementing precise

material distribution WMS intelligent warehouse management intelligent loading and route planning thereby

establishing a fully traceable intelligent manufacturing model. This approach realizes efficient agile and lean-

flexible digital factory management.Intelligent manufacturing model with full process traceability

Low carbon transformation Digitalized manufacturing Pull production

Customer

Supplier Demand driven

Milk Run Finished

SRM product PM shipment

Loading for storage MES

& unloading for

outbound

Annual carbon

emission reduction: Material request demand 60% of the products

3000 tons off the production line are shipped

WMS onthe same dayPickup point AGV Delivery point Automated assembly line

Raw material

warehouse

Finished product

warehouse

Process Time: 2 days

Inventory days: 2.5 days Inventory days: 0.5 day

QMS

Ecological pool of the Company Full-process traceability

61 622024 Environmental Social and Governance (ESG) Report

Advantages of lean and automated production in smart factories

Through the interconnection of various business Leveraging cloud computing and big data

systems the Company achieves end-to- the Company constructs an industrial digital

end integrated fine management enhancing brain. Through highly intelligent advanced

the quality and efficiency of manufacturing manufacturing and efficient organizational Circulating packaging and boxing

development. management it achieves lean manufacturing and

management creating a sustainable competitive

advantage.The Company insists on green logistics. Inside the plant circulating vehicles follow planned routes and time

windows to pick up goods. Real-time monitoring is implemented along delivery routes achieving integrated

delivery and pickup reducing waiting times and energy consumption within the plant and improving spatial

utilization of production areas. Lean automation upgrade of production line Automatic vacuuming on seed crystal line

Automatic strapping and packing of composite boxes

Circulating pick-up route Key Performance

The Company has fully completed the lean automation upgrade of production lines and effectively implemented T he Company has established 7 circular pickup routes improving overall transportation efficiency by over

a series of lean improvements such as automatic vacuuming on seed crystal lines RGV automatic circulation 40% reducing transportation mileage by 40% to 70% and achieving an annual reduction of 3000

on crucible lines automatic lifting of rotary plate valves and automatic strapping and packing of composite tons in carbon emissions.boxes to rapidly enhance plant capacity. Additionally the Company requires suppliers to stock according to

SRM requirements and use standardized green recyclable packaging for boxing effectively reducing solid waste B y using standardized green recyclable packaging for boxing the Company expects to complete full

generation in the park and building a new advantage in green intelligent manufacturing. Furthermore the truckload loading and unloading within 15 minutes improving loading and unloading efficiency by over

Company has designed foolproof and ergonomic workstations to ensure work safety. Equipped with fixtures 50% and vehicle loading rate by over 30%.and inspection tools to ensure effective control of key points the number of assembly staff is reduced by 35%

significantly lowering labor intensity and further setting a new industry benchmark. T he plant's daily production capacity has increased by 20% the total working hours per unit of mono

crystal puller have improved by 20% and the solid waste output has decreased by 83%.

63 642024 Environmental Social and Governance (ESG) Report

3 Innovation-driven 67 Quality Management 71IP Protection 70 Customer Services 74

Igniting Innovation and

Advancing Together

JSG focuses on technological R&D and quality leadership as its core strategy.The Company is committed to promoting the high-quality development of the PV

and semiconductor industries through technological innovation and excellent

management. JSG strives to continuously create high-quality products and

improve its customer service system contributing to the sustainable development

of the entire industry chain and advancing it to a higher level.

65 662024 Environmental Social and Governance (ESG) Report

Scientific research platform construction system

Innovation-driven

Scientific research platform

construction system

JSG has always placed research and development at the core of its high-quality development process. The

Company adheres to a dual-driven model of technological breakthroughs and deep exploration of customer needs

continuously strengthening R&D investment to enhance its R&D strength and innovation capability. This approach 1 technical 10 equipment 2 advanced 3 professional R&D 1 Japanese R&d

ensures the sustainability of the Company's core competitiveness aiming to create greater value for customers. application research institutes laboratories departments Center

department

R&D Management

Key Performance

JSG is dedicated to building a comprehensive R&D system focusing on strategic R&D product and technology

R&D and process and technical support R&D. By thoroughly studying national industrial policies and industry In 2024 the Company added 2 subsidiaries Zhejiang Meijing New Materials Co. Ltd. and Zhejiang Qiushi

development trends and keeping abreast of the latest developments in the PV and semiconductor industries Semiconductor Equipment Co. Ltd. which were selected as the national-level specialized refined

the Company collects and analyzes customer demands market dynamics competitive landscapes and new

technological information to accurately define R&D objectives and roadmap planning. On this basis JSG has differential and innovative "Little Giant" enterprises.established core technology development platforms and product commercialization platforms continuously As of December 31 2024 5 subsidiaries of JSG have been selected as national-level specialized refined

developing new products and technologies that meet market demands and align with the Company's strategy. differential and innovative "Little Giant" enterprises.These efforts ensure the Company's leading position in the industry and provide high-quality capacity support to

the nation and the industry.Key Performance Scientific Research Breakthrough

In 2024 the Company invested CNY 1119.19 million in R&D accounting for 6.37% of operating revenue. JSG is committed to driving continuous breakthroughs in various application fields through technological R&D

The R&D team consisted of 1588 personnel representing 26% of the total workforce including 46 PhD ensuring stable and high-quality development. As a leading domestic high-tech enterprise in "advanced materials

and advanced equipment" the Company leverages years of in-depth understanding of technologies and processes

holders and 476 master's degree holders. in the PV and semiconductor fields. It continues to increase investment in technological R&D achieving multiple

scientific research breakthroughs and providing strong support for industry development.Case

R&D Platform JingHuan Electronic set new record with 1000kg sapphire crystal

JSG continually optimizes its R&D organizational structure operating national-level postdoctoral research

stations national enterprise technology centers and other research platforms to enhance the construction of its In May 2024 JingHuan Electronics' latest innovative achievement

research platform system. In 2024 the Company restructured its R&D center into 10 major equipment research a 1000kg-class ultra-large-sized sapphire crystal successfully

institutes 2 advanced laboratories 3 professional R&D departments 1 technical application department and 1 came out once again breaking the world record for the research

Japan R&D center. Compared to 2023 2 new equipment research institutions and 1 Semiconductor Technology and development of ultra-large-sized sapphires. This is another

Application Department were added. Additionally in 2024 the Company received approval for the Provincial Key breakthrough following the establishment of the world record for

Laboratory of High-Performance Silicon Material Equipment was honored as one of the Top 100 Enterprises in a 750kg-class crystal in 2020 and it also represents the confidence

Electronic Information Competitiveness for the year and 4 of its subsidiaries Qiushi Chuangxin Ningxia JingHuan and strength in the technology of ultra-large-sized sapphires and 1000kg-class ultra-large-sized

Jingyu New Materials and Ningxia Jingchuang were recognized as "National High-Tech Enterprises." the mass-production process. sapphire crystal

67 682024 Environmental Social and Governance (ESG) Report

Case Scientific and Technological Ethics

JSG achieved stable processing of ultra-thin wafers providing strong support for the

independent control of China's semiconductor industry JSG adheres to scientific and technological ethical norms. Throughout the R&D and business operations it

has always been pursuing independent innovation. Based on intellectual property rights the Company does

not develop or use scientific and technological means that may cause harm to the natural environment life

In August 2024 JSG's R&D team successfully developed and health public safety and ethical and moral principles. It is committed to promoting social progress and

the WGP12T thinning and polishing equipment enabling

stable processing of 12-inch 30μm ultra-thin wafers. positive development through research and development innovation. In the future development process the

While ensuring wafer surface flatness and roughness Company will still attach great importance to the norms of scientific and technological ethics ensuring that every

the Company effectively addressed challenges such as technological breakthrough meets the requirements of scientific and technological ethics and contributing to the

deformation cracks and contamination during the thinning stable and healthy development of society.process truly realizing the efficient and stable processing

technology of 30μm ultra-thin wafers. This breakthrough

signif ies JSG's impor tant progress in semiconductor

equipment manufacturing providing strong support for

technological advancement and independent control of IP Protection

China's semiconductor industry. New WGP12T thinning and polishing equipment

JSG adheres to an independent intellectual property strategy placing significant emphasis on the management

Case and protection of intellectual property (IP). The Company has established an IP management system centered

around policies such as the Measures for the Protection of Intellectual Property Rights and Patent Management

JSG released multiple new equipment models accelerating the green and intelligent Procedure continuously standardizing IP management practices to foster technological innovation and the

development of semiconductor equipment development of proprietary IP.In 2024 JSG introduced several new equipment models including the 8-inch double-chip silicon carbide IP protection management process

epitaxial equipment 8-inch silicon carbide measurement equipment and 12-inch fully-automatic thinning

and polishing equipment. These additions expanded JSG's semiconductor equipment portfolio promoting

the industry's advancement towards high-end intelligent and environmentally friendly technologies.* Silicon carbide epitaxial furnace

The Company developed 8-inch double-chip silicon carbide

epitaxial equipment capable of processing two 8-inch

wafers simultaneously in a single chamber increasing

unit capacity by 80%. It features the latest epitaxy doping

process package fully automated loading module and AI

big data analysis platform EAP interface enabling large-

scale epitaxy production based on the C2C model. 8-inch double-chip silicon carbide epitaxial Patent layout Patent retrieval Patent application Patent early

equipment warning

Patent activities

* Silicon carbide measurement equipment

Utilizing Fourier transform infrared spectroscopy and

grazing incidence phase-shifting interferometr y JSG Key Performance

developed SiC epitaxy optical measurement equipment and

SiC wafer surface morphology measurement equipment for

non-contact measurement of SiC materials. The EM200A- As of December 31 2024 the Company has a total of 1069 valid patents including 256 invention

ZJS equipment incorporates two self-developed algorithms

to calculate buffer and epitaxy layers allowing users to patents (including 13 international patents). During the year 323 new patents were authorized

adjust based on specific processes and wafer structures. comprising 105 new invention patents (including 6 international patents).The FM200A-ZJS equipment supports customized data

analysis functions and user-defined sorting standards for

measured wafers. SiC epitaxy optical measurement equipment

69 702024 Environmental Social and Governance (ESG) Report

The Company places high importance on independent research and technological innovation implementing Key Performance

the Measures for the Management of Patent Award Selection and establishing an incentive mechanism for IP

applications. These initiatives focus on inventive creations and adhere to principles of objectivity fairness justice

In 2024 the Company did not experience any quality or safety-related adverse events.and transparency in selecting and rewarding R&D personnel who contribute patents effectively motivating

employee innovation and enhancing patent quality. This approach perpetuates the Company's culture of valuing

research and maintains a robust research environment with favorable R&D conditions.Four dimensions of patent award selection

Quality strategy Quality policy

The Company safeguards the dual drivers Guided by quality costs and centered on

of demand and innovation through the customer satisfaction JSG strives for

Technical Market

Patent quality Patent reputation of its products and services excellence with zero-defect management

advancement competitiveness protection using quality as the foundation to establish aiming to build a reputable product line and

an internationally leading position in the achieve outstanding commercial reputation.autonomous semiconductor equipment chain.Key Performance Key Performance

2.04 In 2024 the Company added 4 new quality system management documents optimized and revised 26 In 2024 the Company awarded a patent award of CNY million.

quality system management documents.Quality Management

JSG upholds the principle of quality supremacy formulating and optimizing a series of systems including the ISO 9001:2015 quality management system

Planning and Control Procedure for Product and Service Realization Quality Objective Management Procedure certificate

and Product Protection and Control Procedure to construct a comprehensive quality management system. The

Company employs intelligent and information-based methods to collect data focusing on full-process quality risk

control to achieve zero-defect quality management.Quality Management System Quality Management Process

JSG has established and continually refined its quality management system integrating international quality JSG has established clear principles for full lifecycle quality management implementing the APQP methodology

standards into its product quality management. The Company applies the PDCA (Plan-Do-Check-Act) management across the entire process including product concept design and development process development production

principle to enhance strategic planning goal decomposition process management and personnel training. and on-site validation. The Company systematically advances project quality planning and execution continuously

This comprehensive approach promotes continuous improvements in market share customer satisfaction and improving risk management proactive management compliance monitoring data management and information

management optimization. collection and application to ensure comprehensive lifecycle quality control.

71 722024 Environmental Social and Governance (ESG) Report

Product lifecycle quality management procedure

Pre-sales Pre-production In-production Post-production After-sales

Risk control Pre-management Compliance monitoring Data management Information collection application

Data ANALYSIS (Plato trend Customer requirement

Log of Problems (LOP) Process standard optimization Internal audit (VDA6.3/6.5) chart) collection

Design Failure Mode and Effects Analysis

(DFMEA)

SOC pre-management and control Principle of "three inspections" and "three don'ts" Management improvement Equipment benchmarking

Production Part Approval Process (PPAP)

Process Failure Mode and Effects Analysis

(PFMEA) Supplier/customer associated production Backend data monitoring Management standardization Technical iterative optimization

Product Monitoring and Data Analysis and Evaluation Information Collection and

Quality Planning and Control Procedure Internal Audit Management Procedure Measurement Control Procedure Process Application Management

Risk and Opportunity Control Procedure Associated Production Management Specification Procedure

Quality Problem Handling Process Quality Cost Management Process

Case Key Performance

Subsidiary Huixiang E&H launched first "Quality Month" event to strengthen quality management

In 2024 the Company conducted a total of 20 quality training sessions with a cumulative training time of

25 hours.

In October 2024 Huixiang E&H successfully hosted its first "Quality Month"

event under the theme "Pursuing Zero Defects Surviving on Quality

Developing through Quality". The initiative included a variety of specialized

training activities such as "Reviewing Past Quality Incidents" "Quality

Experience Sharing" and "Quality Incident Warnings" helping employees Customer Service

gain deeper insights into the importance of quality and enhancing their

quality awareness and skills. Additionally a series of competitive events were JSG adheres to a customer-first service philosophy and regards customer satisfaction as the core standard for

organized including quality contests quality knowledge competitions and measuring service effectiveness. The Company has established a series of systems like Customer Complaint

daily quizzes on quality system fundamentals. These efforts reinforced the Management Process Customer Satisfaction Management Process Customer Training Management Process

Company's "Quality-driven enterprise" strategy strengthened the foundation and Problem Solving and Customer Care Procedure to optimize the complete customer service process

of quality management enhanced employees' quality consciousness and comprehensively. These efforts provide high-quality service to customers significantly enhancing their trust and

propelled the Company toward continuous improvement and innovation. loyalty and laying a solid customer foundation for the Company's long-term development.Customer Communication and Feedback

JSG attaches importance to customer feedback and holds regular customer satisfaction surveys to ensure timely

awareness and implementation of customer suggestions or comments. It conducts quarterly satisfaction survey

planning and monthly satisfaction research for project and spare parts customers and regularly holds satisfaction

weekly meetings to address customer issues with relevant department heads analyzing causes following up on

processes and implementing improvement measures to achieve an early detection feedback and closing loop for

Quality Month award site Quality Month activity site issues in all processes.

7374

Market & customer demand research2024 Environmental Social and Governance (ESG) Report

Product or service complaint management process Case

JSG won the "Joint Effort Award" from TW Solar earning high praise from partners

●?W hen receiving complaint ●? QA of the Quality Department ●? Analyze the causes of quality

letters from customers sends the received questions problems by means of various

or discovering safety and to the relevant departmental quality tools and develop In November 2024 at the 7th China International PV and Energy

major quality incidents it staff at the same time urgent measures Storage Industry Conference JSG was awarded the "Joint Effort

is required to report them ● ? QA of the Quality Department ●? Set up a team to analyze and Award" by its partner TW Solar winning high praise from the

to the Quality Management communicates with the improve important problems/ partner.Department by e-mail or relevant sales person or after- quality accidents according to

telephone within 2 hours on sales service leader to confirm 8D method

working days and 6 hours on whether the customer needs JSG won the "Joint Effort Award" from TW Solar >>

non-working days a response letter to deal with

● ? Quality and safety incidents the problem

are also reported to the

Group Quality Committee Customer Training

JSG values empowering customers establishes training processes and specifies the needs identification training

Question presentation Information transfer Cause analysis

plan implementation and continuous improvement during customer training. It provides comprehensive

training on equipment technical specifications operation instructions and common fault handling to ensure the

achievement of the expected training outcomes.PDCA customer training process

Closure confirmation Preventive measures Effect verification Measure formulation Plan (P) Do (D)

● ? Customer ● ?C ases of validated ● ?V alidate post- ● ?D evelop permanent ●?C oordinate customer training content ●? C onduct customer training according to

complaints are measures are implementation measures using based on needs; the plan;

integrated into the expanded effects using tests response tables ●?I dentify essential training needs based on ●? T imely adjust and resolve issues

BPM system for horizontally and variance analysis such as the PDCA equipment installation progress; encountered during the training process;

management documented pareto diagrams method network

●?

histograms etc. diagrams etc. Prepare the customer training plan.●?R esponsible for feedback and reporting

on problem resolution progress.Action (A) Check (C)

●? O rganize the summary and review of ●? Issued training questionnaires to obtain

Key Performance training evaluations; customers' evaluations of the training

●? Develop and implement improvement including evaluations of trainers'

plans; competence course content and training

In 2024 the customer satisfaction rate was 97% with no customer complaints. ●?S hare accumulated knowledge and effectiveness.experience.

75 762024 Environmental Social and Governance (ESG) Report

4 Supply Chain Security 79 Coordinated Industrial Development 82

Striving for Win-win

Cooperation and Building

a Promising Future

JSG always adheres to the values of "Achieving Partnerships and Co-Creating

Brilliance". By working hand-in-hand with various parties JSG closely collaborates

with a broad range of supplier partners in technological innovation and cultural

co-construction maintains close cooperation and contact with universities and

associations among other entities integrates exchanges enhances organizational

resilience and boosts the Company's market competitiveness. It expands the

realms of industry cooperation aiding the Company in achieving precise and

sustainable development.

77 782024 Environmental Social and Governance (ESG) Report

Supplier performance evaluation indicators

Supply Chain Security

Qualification safety and Operating Technical level and

Performance

environmental protection conditions and product design and

JSG insists on "focusing on the deployment of the innovation chain along the industry and supply chains continuously certificates financial risks innovation

enhancing scientific and technological support capabilities". It has developed and refined a system of management

processes encompassing the entire lifecycle of suppliers including New Supplier (Resource) Development Management Environmental Green and safe Raw material and Work Safety

Procedure Supplier Management Process Supplier Admission Management Process Supplier Audit Process Supplier protection warehousing and product traceability

logistics management

Performance Evaluation Process and Supplier Exit Management Process. This system forms a management process

centered around "PDCA" creating a flexible and resilient supply chain management system to ensure the safety and

stability of the domestic supply chain while actively responding to the strategic trend of going global. Hazardous Supplier Quality

chemicals management Product designmanagement

Supplier management process management system

Key Performance

Supply chain Supplier quality Supplier risk Purchase order Supplier In 2024 the Company had a total of 1386 suppliers of which 100% of the suppliers signed agreements that strategic management

management assessment management

performance

management included environmental and labor requirements; 94% of the suppliers conducted social impact assessments;

and 94% of the suppliers conducted environmental impact assessments.Flexible supply chain procurement strategy

Purchasing Management Supply source

Concentrated concentrated concentrated concentrated ?Transparent procurement management

Standardization Multi-purchase unified Group purchasing Streamline the number

of suppliers The Company advocates for transparent procurement treating integrity

Generalization as the red line for supply chain construction. In accordance with anti-

Measures for handling violations in

Integrate supply-side

operations bribery laws and regulations from China and other countries and regions

supplier transparent procurement

such as the U.S. Foreign Corrupt Practices Act and the UK's Anti-

Bribery Act it has established and signed the supplier code of conduct Pay liquidated

of Partners Integrity Cooperation Agreement with suppliers clearly Immediately damages

Demand Purchasing + Management Supplier defining responsibilities for integrity in procurement. The Company terminate

cooperation

provides suppliers with an open accessible SRM system for tendering

and quoting. It offers reporting channels for partners with dedicated

?Sustainable supply chain management Report the personnel responsible for investigation and handling and sets breach supplier's

management measures for partners with integrity issues. Additionally illegal acts to

To ensure effective control over ESG risks of suppliers the Company continuously optimizes the supplier performance the Company regularly conducts integrity training updates the qualified the competent

evaluation process. It maintains a "Qualified Supplier List" and incorporates ESG factors in the supply chain assessments supplier list timely and strictly enforces ethical business management authorities

and supplier on-site audit criteria using the Supplier On-Site Inspection Scoring Form to evaluate suppliers and requirements truly practicing transparent procurement.issue corrective recommendations ensuring the stability of the supply chain and compliance with ESG requirements.Additionally the Company emphasizes product traceability management requiring suppliers to provide a Commitment

to Non-Use of Banned Substances which includes terms from the Requirements of Concentration Limits for Certain Key Performance

Restricted Substances in Electrical and Electronic Products to ensure that the products or services provided do not

contain substances harmful to the environment and human health. For suppliers that excel in assessments the Company In 2024 100% of the Company's suppliers signed the supplier code of conduct.implements rewards such as increasing purchase volumes and upgrades to qualified suppliers; for those performing poorly

over three months and showing ineffective improvements exit management measures are also employed.

79 802024 Environmental Social and Governance (ESG) Report

?Empowering the supply chain cooperation circle Coordinated Industrial Development

The Company focuses on supply chain empowerment management. For the professional capabilities of

procurement staff the Company conducts targeted training for procurement line employees from the

perspectives of demand side internal and supplier angles integrating modern supply chain management JSG as a leading enterprise in the industry always practices the social responsibilities of a leading company

pain points. For supplier capability development the Company actively conducts internal review meetings gathering collective efforts to lead industry development and demonstrate corporate responsibility. The

on supplier performance holds annual supplier conferences and collaborates with various parties to share Company maintains good cooperation and communication with the government universities and upstream and

experiences and perspectives jointly innovating and launching new products and technologies that meet downstream of the industrial chain fostering high-quality technical talents in the industry promoting industrial

market demands. The Company builds an outstanding and sustainable supply chain system through a chain standardization and technological innovation. Together with various industry parties it empowers global

combination of internal procurement empowerment and external cooperative exchanges. energy transformation through lean intelligent manufacturing and open cooperation writing a new chapter of

high-quality development in the "Chinese solution" global journey.Key Performance

In 2024 the proportion of the Company's purchasers who have passed sustainable procurement training University-Industry Cooperation

reached 100%.JSG firmly believes that talent cultivation is one of the key factors driving industry development. It attaches great

importance to talent cultivation tirelessly explores new models of industry-academia cooperation links academic

resources from universities with its own technical experience and capabilities and maintains close contact and

Case active cooperation with universities. The Company has established a postdoctoral station and collaborates with

JSG's 2024 Supplier Innovation Conference successfully concluded discussing sustainable universities on joint talent development projects. This not only helps the Company achieve technological upgrades

innovation ecosystem and improve talent echelon construction but also trains professionals for the industry promoting high-quality

industry development.JSG held its annual Supplier Innovation Conference in 2024 where it outlined future product layouts and plans

and shared experiences and provided empowerment support on improving supplier quality management

supply chain capability transformation and development. Additionally in various sub-forum sessions of the Cooperative academy Cooperative project

conference senior company leaders engaged in one-on-one discussions with supplier representatives on supply

chain innovation strategies and the construction of efficient delivery systems. The successful completion of this

conference has profound implications for strengthening the value of the supply chain building a more efficient

and mutually beneficial supply chain cooperation circle and paving the way for a future of superior quality ? E stablished "Innovation Research Center of Mechanical and Electrical

better benefits and higher efficiency in the supply chain network innovation and development. Equipment"School of Mechanical

? C arried out the "Joint Training Program of Full-time Professional Degree

Engineering Zhejiang

Master's Degree"

University

? C ompleted the scientific research project of "Development of 12-inch

Czochralski Hard-axis Mono Crystal Silicon Growth Furnace"

School of Management

Support Zhejiang University's EMBA mutual talent cultivation

Zhejiang University

Institute of Crystal Materials

Jointly built a "Crystal Material Equipment Research Center"

Shandong University

JSG's senior leaders communicate Summary Speech by Chairman 2024 Supplier Conference site

with suppliers Dr. Cao Jianwei

81 822024 Environmental Social and Governance (ESG) Report

Case Standards jointly prepared by the Company (partial)

Supported Zhejiang University's EMBA mutual talent cultivation exploring high-quality

industry talent development Standard Standard No. Standard Type

In November 2024 JSG in collaboration with the Zhejiang University EMBA Finance Association and Professor Terminology for Integrated Circuit (IC) Manufacturing GB/T 40577-2021 National

Han from the School of Management of Zhejiang University launched a "Zhejiang University EMBA" mutual talent Equipment

cultivation event. This initiative is an important component of the Zhejiang University EMBA program aimed

at mutual visits research and learning through diverse in-depth and comprehensive training. The Company High Purity Alumina for Sapphire Mono Crystal GB/T 34213-2023 National

leader conducted a session on "Lean Management" explaining the core concepts and practical methods of

lean management in depth and with clarity. Furthermore the Company detailed JSG's development history Monocrystalline Sapphire Bar GB/T 31092-2022 National

core technologies and product applications. Through vivid explanations and rich displays participants deeply

and intuitively understood the cutting-edge technologies of the semiconductor industry further fostering and Czochralski mono crystal puller for PV SJ/T 11854-2022 Industry

promoting the technical capabilities of industry skilled talent.Positive-pressure Float Zone Crystal Growth Furnace SJ/T 11853-2022 Industry

TDR Series mono crystal puller T/ZZB 0044-2021 Group

Multicrystalline Silicon Casting Furnace T/ZZB 0061-2016 Group

Chemical Vapor Deposition (CVD) Epitaxial Equipment for

T/ZJATA 0017-2023 Group

Preparing Silicon Carbide Semiconductor Materials

Quartz Crucible for Growth of Photovoltaic

T/ZS 0596—2024 Group

Monocrystalline Silicon

Semiconductor Industry Nitrogen Oxide Emission

Zhejiang University's mutual talent cultivation program site T/CIECCPA 007—2024 GroupRequirements

High Purity Quartz Sand for Semiconductor Quartz

T/QGCML 4167—2024 Group

Crucible Production

Standard Setting

High Purity Quartz Crucible for Semiconductor Silicon

T/ICMTIA CM0038—2024 Group

Mono Crystal Production

Based on advanced technology and extensive industry experience JSG consistently maintains strong cooperation with

government agencies industries and non-profit organizations and continually participates in setting and researching

national industry and group standards. It fully leverages its exemplary role in the PV and semiconductor industry to

promote the standardization of lean manufacturing and industry development driving high-quality development of the

industry's technological innovation capability. Industry Development

Key Performance As the global energy system rapidly transitions to low carbon JSG a leader in technology and scale within the

domestic PV industry is deepening its internal circulation system to tap into the potential of the local market.By the end of 2024 the Company had led or participated in the formulation of 4 new national industry At the same time it integrates advantageous resources to actively respond to the trend of developing new

growth poles with a global layout. This strategy forms a new economic ecosystem of synergistic development of

and group standards accumulating a total of 23 standards. both internal and external circulations establishing a new benchmark for high-quality overseas expansion and

contributing to the sustainable and high-quality development of the global PV and semiconductor fields.

83 842024 Environmental Social and Governance (ESG) Report

Case ?Domestic participation

Jingsheng Photonics' products went global embarking on a new journey for global clean

energy development Case

Focused on the R&D and manufacturing of high-end equipment in the solar energy field Jingsheng JSG participated SEMICON China in Shanghai actively exploring domestic and international

Photonics successfully exported three of its latest devices in July 2024: PECVD LPCVD and tube cooperation to aid industry development

low-pressure phosphorus diffusion furnaces to overseas customers. It continuously expands into

international markets provides global customers with PV full-industr y chain intelligent factor y

solutions with high-quality products and efficient services injecting new vitality into the development In March 2024 the Company showcased several new products at SEMICON China 2024 in Shanghai and

of global clean energy. held a new product launch event themed "Innovative Chips Intelligent Manufacturing Leading the Way".Not only did it display the Company's cutting-edge technology and innovation achievements but it also

served as an important window for linking and exploring global semiconductor industry development

opportunities exchanging ideas with industry experts from around the world and creating more

possibilities for the localization of the semiconductor industry.Group photo of Jingsheng Photonics' cell equipment shipment

Communication at Home and Abroad

JSG leverages its strengths to actively participate in major international exchange activities such as alliances

forums and summits maintaining proactive communication and cooperation with companies within the

industry and enhancing linkage with associations. In 2024 the Company participated in SEMICON China SEMICON

Japan SEMICON Europe SNEC International Photovoltaic Exhibition China International PV and Energy Storage

Industry Conference CSEAC International Conference on Silicon Carbide and Related Materials (ICSCRM) and

other domestic and international exchanges. It continuously shared cutting-edge technological achievements

and experiences and joined forces with top domestic and international industry resources to contribute to the Exhibition site of the Company at SEMICON China in Shanghai

sustainable low-carbon development of the global industry.

85 862024 Environmental Social and Governance (ESG) Report

?International exchange Case

Participated in SEMICON Japan 2024 promoting domestic semiconductor equipment and

Case materials to go global

Jingrui Electronic showcased at ICSCRM 2024 strengthening exchange and cooperation In December 2024 SEMICON Japan a semiconductor industry equipment exhibition was held in Tokyo

with domestic and international peers Japan. The Company presented integrated circuit equipment for 8-12 inch large silicon wafers as well

as innovative achievements in sapphire materials silicon carbide materials and equipment diamond

In October 2024 the International Conference on materials and semiconductor components to semiconductor equipment suppliers manufacturers

Silicon Carbide and Related Materials (ICSCRM and professionals from around the world. Among the exhibits the upgraded horizontal silicon carbide

2024) was held in Raleigh North Carolina USA. epitaxial equipment not only featured new overall disassembly components but also offered customized

Jingrui Electronic (SuperSiC) debuted introducing consumable batch cleaning services achieving cost reduction and efficiency enhancement in silicon

its independently developed 8-inch silicon carbide carbide epitaxial growth thus boosting high-quality wafer production and continuously empowering

substrates and the latest R&D achievements during industry innovation development.the product presentation session. This showcased

their R&D strength and technological progress in

crystal growth defect and stress control laying the

foundation for expanding international markets Presentation site of 8-inch silicon carbide substrate

and the global application of their products. product

Case

Jingrui Electronic participated in SEMICON Europa in Munich Germany discussing the

future of power semiconductor materials with global industry colleagues

In November 2024 the SEMICON Europa opened grandly in Munich Germany. Jingrui Electronic (SuperSiC)

participated with 6-8 inch SiC substrate wafers and 8-inch crystal ingots. As a significant player and

contributor to the global third-generation semiconductor industry chain its presence at the SEMICON

Europa not only showcased its technological R&D and innovation capabilities but also expressed its

determination and confidence to discuss cost-reduction and efficiency-enhancement strategies with global

upstream and downstream partners.SEMICON Europa Exhibition site of the Company at SEMICON Japan 2024 in Tokyo Japan

87 882024 Environmental Social and Governance (ESG) Report

5 Employee Rights and Benefits 91 Employee care 110Employee Development 97 Occupational health and safety 113

United in Strength and

People-Centric

Talent is the core driving force for sustainable development. JSG consistently practices

the value of "Struggle orientation and partner accomplishment" puts talent strategy

at the forefront of corporate development and improves the training system and

long-term incentive mechanism by building a multi-dimensional growth platform and

career development channel. Additionally the Company develops comprehensive

equity protection mechanisms and occupational health and safety management

implements diverse welfare policies genuinely enhances employee sense of

belonging cares for the physical and mental health of employees and achieves a

symbiosis of employee value and corporate development.

89 902024 Environmental Social and Governance (ESG) Report

The Company values talent development and has

Employee Rights and Benefits established a talent development management strategy.For campus recruiting social recruiting online

submissions and other external channels the Company

JSG respects and protects the rights of every employee always considering the selection cultivation and retention strives to ensure that job information is transparent and

of talent as the foundation for propelling substantial corporate development and as a critical topic for sustainable the recruitment process is fair and equitable avoiding

development. The Company strictly adheres to the United Nations Global Compact Universal Declaration of any form of discrimination. Additionally the Company

Human Rights Declaration on Fundamental Principles and Rights at Work by the International Labour Organization encourages internal referrals and the healthy internal

and fully implements the laws and regulations such as the Labor Law of the People's Republic of China the Labor mobility of outstanding talents clearly defining the

Contract Law of the People's Republic of China and the Law of the People's Republic of China on the Protection responsibilities requirements and compensation

of Women's Rights and Interests as well as national employment policies. This efficiently manages and develops benefits of various positions. It also posts internal hiring

human resources enhances employee satisfaction and capabilities and promotes robust corporate development. notices to all employees through the intranet establishes

a talent referral mechanism and Implementation

Standard of Internal Referral Bonus for Recruitment

Equal Employment of Internally Recommended Positions and sets up the

"Bo Le Award" and bonuses to stimulate employees'

JSG implements an equal non-discriminatory employment policy and provides detailed explanations of its legal enthusiasm for referring talents for nearly 65 positions

compliance in prohibiting child labor resisting forced labor and protecting democratic rights actively fostering across 17 business lines thereby broadly attracting

democratic and harmonious labor relations. The Company takes a zero-tolerance approach to any form of talents of diverse backgrounds and professional fields to

discrimination and unfair competition. The labor management system developed by the Company covers not only empower the Company and supporting the creation of

the entire Company but also suppliers and contractors aiming to maintain a healthy order in the labor market. long-term sustainable commercial and social value.Internal hiring poster

Key Performance

Key Performance

As of December 31 2024 the Company had a total of 6111 employees with a 100% labor contract

In 2024 the Company has 116 employees

signing rate and 6.67% core employee turnover rate Note; there were no incidents of forced labor child labor

through internal referrals and 51

or other violation events involving employee rights.employees won the "Bo Le Award"."Bo Le Award" and internal referral poster

Note : Core employees refer to those with a job level of 7 and above at JSG.Employee gender structure Staff position structure Education degree of research personnel Age structure of research personnel

15.97%1.90%6.05%2.90%7.18%

Financial personnel 23.43%

Male 5135 people 116 people

29.97%

25.99% R&D personnel

Female 976 people 1588 people PhD 46 people 29.41%

Sales personnel Master 476 people

2.03% 124 people 43.70% Bachelor 694 people 63.41%

Aged 30 and below

1007 people

84.03% Administrative personnel370 people Diplomacy and below 31-40 467 people

64.03% 372 peopleProduction personnel Aged above 40

3913 people 114 people

91 922024 Environmental Social and Governance (ESG) Report

Diversity and Inclusion Case

Caring for female employees celebrating women's day

JSG fully recognizes accepts and values the differences and uniqueness between individuals understanding the

importance of a diverse and inclusive workplace culture in attracting excellent talent. The Company insists on In March 2024 the Company hosted a series of colorful festival activities themed "Vibrant Spring - Be Your Most

equal pay for equal work protects women's rights and resolutely opposes discrimination and harassment based Beautiful Self" including DIY workshops coffee-making classes and women's lectures providing all female

on race culture religion age disability status or gender. The Company provides ample welfare and care for female employees with exquisite desserts and gifts. This demonstrated the Company's care for women deepening their

employees with facilities such as nursing rooms and also closely monitors the development of disabled persons sense of belonging and identity and creating an equal harmonious and female-friendly corporate atmosphere.among other groups offering suitable equal job and promotion opportunities allowing them to fully utilize their

talents and achieve self-worth. * Coffee making:

Key Performance The Company invited professional instructors to lead female employees in experiencing latte art teaching

the skills of hand-grinding coffee allowing employees to enjoy the fun of coffee making.In 2024 the Company:

had 274 employees from minority ethnic groups and 7 employees with disabilities;

had 173 newly hired female employees bringing the total number of female employees to 976. Among them

59 are in management positionsNote 1 and 17 are senior executivesNote 2.

Note 1: Management positions include employees at level 5 and above within JSG;

Note 2: Senior executives include positions such as Director Deputy Director General Manager Vice General Manager President and

Vice President.Coffee making teaching experience

*DIY experience:

The Company organized DIY activities for female employees including fan and handbag crafting where

everyone shared laughter and joy spending a warm and meaningful holiday together.Nursing room of Qiushi Semiconductor DIY experience site

93 942024 Environmental Social and Governance (ESG) Report

Case JSG's employee service center structure

*Female health lecture: Employee Service Center

The Company invited professional teachers to

impart health knowledge and skills encouraging

female employees to cultivate good living habits

and self-protection awareness. Additionally the

Company disseminated information on workplace Employee affairs Talent service Administrative service IT service Financial servicediscrimination and harassment DEI (Diversity

Equalit y and Inclusion) and related systems

for inclusive management among employees

enhancing women's self-protection awareness and Employee feedback and communication channel

safeguarding their physical and mental health.Online Offline

Female health lecture

* Symposium

* Employee satisfaction survey

* Solicitation of comments

* Employee mailbox: 0575-82333726

* Employee mailbox

?Workers' Congress * Complaint mailbox: syhrssc@jsjd.cc * Windows of Employee Service Center

The Company always adheres to the principles of

"equality democracy openness and consultation"

regularly convenes the Workers' Congress to listen

to and understand employees' needs and jointly

discusses labor management-related matters to foster

a more harmonious and united corporate culture and

enhance the Company's cohesion and creativity. In

2024 discussions were held regarding the annual trade

union fee income and expenditure status and norms

for the use of union fees. Deliberative materials of 2024 Workers' Congress Shangyu Hangzhou Hohhot

?Employee feedback mechanism

The Company always prioritizes employee feedback and has established an employee communication platform

with employee sharing service center as the core facilitating an upward feedback mechanism through various

communication channels such as regular symposiums soliciting opinions and an employee mailbox. It has set

up a formal employee grievance handling mechanism and process allowing employees to provide feedback

anonymously or openly on issues such as employment discrimination welfare protection and working conditions.The responsible personnel listen to respond to feedback and suggestions and keep the personal information of

the responders confidential responding to and resolving employee issues promptly collaboratively and efficiently

and regularly publicizing the results of the issues handled thereby safeguarding the legitimate rights and interests Windows of Employee Service Center and Online feedback of service window

of employees. information bulletin board

95 962024 Environmental Social and Governance (ESG) Report

Key Performance ?Compensation performance system

In 2024 the Company received 166 feedback through online and offline employee communication The Company has legally established a competitive scientific and rational compensation system committing

channels with a feedback handling rate of 100%; there were no incidents of leakage of employee not to differentiate starting pay and rewards based on employee gender religion political marital status etc.It integrates a variable compensation mechanism that allocates salaries based on employee performance and

information or feedback/complaint content. contribution to better attract develop retain and motivate high-performing employees igniting creativity and

enhancing the company's overall competitiveness.Furthermore the Company conducts an annual employee satisfaction survey to identify common issues and Employee compensation composition

continuously improve and empower management. In October 2024 based on previous feedback on administration

human resources cafeteria etc. the Company further refined the satisfaction survey questionnaire and added

topics such as information security performance assessment employee development and work environment Fixed salary Variable salary

to genuinely research employees' views and suggestions on Company operations and their own development

thoroughly analyze employee opinions propose and implement corrective measures. Stock incentive

Standard job salary Special patent bonus

Duty allowance Merit bonus

Key Performance Overtime pay

In 2024 the Company conducted the 2024 JSG Employee Questionnaire Survey covering 100%

of employees with a satisfaction score of 4.54 out of 5; The survey identified 15 suggestions for The Company continually improves its performance management mechanism forming a system that evaluates

improvement in administration environmental safety information human resources etc. with 14 work performance with regular performance assessments and feedback processes. Performance management

measures proposed and implemented achieving a correction rate of 93%. serves as a tool to break down and achieve business goals with performance indicators set according to the

requirements of each business unit and role. Additionally assessment results are linked to quarterly bonuses

excellent performance allowances promotion evaluations and other incentives thus encouraging employees to

improve work efficiency and create more excellent work results.Employee Development Key measures of performance appraisal personnel management

Determine annual performance indicators and target breakdown semi-annually

JSG places talent development strategy at the core of the enterprise viewing human resources as the key strategic

asset for sustainable development. The Company has established a systematic talent cultivation mechanism and Performance assessment details are agreed upon with core department personnel

career growth paths supported by a scientific and rational compensation incentive system and relies on the and regularly determined by management with full communication and signed

"competition-based training combining training with practice" model to forge PV and semiconductor equipment confirmation by all employees

talent with innovative and practical capabilities. This solidifies the foundation for talent cultivation builds the HRBP collects performance result feedback and handles appeals according to the

"Crystal Craftsman" pyramid ensuring that "a strong base leads to a high peak" and injects a continuous stream of assessment frequency of each business department

talent into the sustainable development of the PV and semiconductor industry.Regular performance discussions are conducted between performance evaluators

and employees

Compensation Incentives

According to the appraisal frequency of each business department HRBP tracks

and implements continuous performance improvements and forms monthly

JSG strictly adheres to the wage management laws of each operational location continuously enhances performance improvement analysis report and quarterly performance analysis

compensation levels optimizes the incentive system and guides and encourages employees to create more work report to continuously improve the Company's performance appraisal mechanism

results achieving mutual wins for the Company and employees.

97 982024 Environmental Social and Governance (ESG) Report

?Incentive and commendation mechanism Case

Held 2024 Annual Award Ceremony to commend outstanding award-winning employees

The Company has established an incentive mechanism that includes promotion and salary increases stock

options and bonus incentives actively providing employees with reasonable and material returns thereby

motivating and retaining key talent. In response to the Company's strategic development needs since 2015 the JSG held the 2024 Annual Award Ceremony themed "Striving for success and forging ahead". Awards were

Company has implemented three phases of stock option plans and one phase of an employee stock ownership presented to teams and individuals from the group and its subsidiaries who made exceptional contributions

plan benefiting over a thousand participants effectively allow employees to share the Company's development in 2024. These included the Patent Gold Award Patent Excellence Award Technology Innovation Award

achievements and promoting mutual progress between employees and the Company. Technological Progress Award and Management Progress Award. A total of over CNY 5 million in prize

money was distributed aiming to express gratitude for the hard work of outstanding employees set a

model for all employees and further stimulate their enthusiasm and work potential.Employee incentive mechanism

Promotion and salary increase: Annual salary increase; twice-a-year promotion

opportunities.Stock incentive: Core talent stock incentive plans.Bonus incentive: Performance bonus year-end bonus special bonus (for R&D

positions) patent bonus excellence award and assistance fund.JSG's 2024 Annual Award Ceremony site

The Company organizes the selection and commendation of outstanding employees carries out the annual

award and commendation conference and recommends outstanding employees to the election of regional model

workers so that the positive work performance and professionalism of employees are fully affirmed by society as a

whole and employees are helped to obtain a sufficient sense of professional satisfaction and achievement. Capacity Development

Talent is the core driving force for JSG's stable advancement and key to achieving strategic goals and promoting

innovative development. JSG has established a comprehensive talent development system that covers all

employees focusing on core capabilities such as leadership expertise and general skills. Utilizing the platform

of JSG Academy the system precisely matches the needs of different categories and levels of employees and

conducts diverse training activities. Combining online and offline methods it comprehensively supports employee

growth creating a solid talent formation for the Company's long-term development.Key Performance

In 2024 the Company invested CNY 1.63 million in training achieving a 100% coverage rate and an

average duration of 22 hours per employee.

99 1002024 Environmental Social and Governance (ESG) Report

?Jingsheng Academy ?Management trainee program

Jingsheng Academy is subordinate to JSG Group's HR Center and is an important part of JSG's talent development JSG organizes the Management Trainee Program annually guided by the Code of Management Trainee Camp and

platform. The Company has established the Code of Management for JSG Academy clarified related responsibilities Continuous Training . The Program selects new graduates from campus recruitment as management trainees

and specific steps for educational training continuously developed and enriched training resources and created a focusing on professional orientation and capability enhancement offering a two-year management training

corporate university-type of continuous vocational training and career pathways for employees. It adopts methods period. Trainees are required to complete at least two professional training camp courses during their tenure

like integrated internal and external training competition-based training simulation-based training lecture-based and are comprehensively developed through internships job rotations and final presentations to cultivate

learning examination-driven learning and integrated training and practice supplementing and deepening some professional skills communication abilities teamwork and innovation. The objective is to transform them into

of the weak links in the employee knowledge system and enhancing the capabilities and skill levels of staff across high-quality talents capable of independently handling job responsibilities thereby achieving the corporate goal of

various positions. "Empowering employees accomplishing the Company" and sustainable development.Organization chart of Jingsheng Academy Case

JSG conducted 2024 new employee orientation activities

Human Resources Center In July 2024 under the theme "Converging everyone

Talent Development Committee together advancing with momentum" JSG held a week-

President of Jingsheng Academy long orientation for the 2024 cohort of new employees

including an orientation conference management

Academic dean trainee training and research center orientation with

over 200 new graduates participating. Leaders from

various departments conducted sessions on Industry and

Training specialist Internal training team External training institution Products Grassroots Perspective and Role Transition for

all new employees accelerating the induction into JSG's

corporate culture and enhancing the newcomers' sense of

JSG's training system platform belonging and loyalty to the Company. Orientation group photo of 2024 fresh graduates

Counseling R&D Center orientation training themed "Forging ahead with dream oriented"

Internal training certification Theme training camp

Coursework/project practice The Company detailed the training paths organizational

structure management principles project management

External channel Online course Coursework sharing processes patent fundamentals and professional

solutions required for positions at the R&D Center helping

new employees grasp the basic knowledge relevant to

Courseware Lecturer Cultural Official account of Jingsheng their positions and laying a solid theoretical foundation promotion Academy for their integration into new roles. Orientation training site of R&D Center

Training system platform New employee training 2024 management trainee training themed "Emerging talents brings a promising future"

Video Lecturer

Thematic training

course team The president of JSG Academy taught over 50 management

trainees courses such as Process Management Identification

of the 7 Types of Waste Methods and Tools for Root

Key Performance Cause Analysis and Effective Communication instilling

the corporate ethos of "rigorous struggle". The Company

In 2024 JSG Academy conducted 45 training sessions with an average duration of 8.6 hours per person. invited former management trainees to share their career

experiences and signed project initiation documents with the

new trainees marking the start of their professional careers. Group photo of 2024 management trainees

101 1022024 Environmental Social and Governance (ESG) Report

The Company is committed to creating a high-quality mentor team fully utilizing the mentorship potential of high- Key Performance

tech talents through one-on-one guidance thus facilitating the rapid growth of young employees. In July 2024

a pairing ceremony themed "Core Craftsmanship Bright Future" was held for new employees to better integrate

them into teams and enhance their job skills. * Current managers' leadership training:

Since 2019 the Company has continuously conducted leadership training for current managers for 6 years.In 2024 4 sessions were held covering 237 management personnel totaling 10 hours.* New managers' leadership training:

Since 2019 the Company has continuously conducted leadership training for new managers for 6 years. In

2024 3 sessions were held covering 59 management personnel totaling 9 hours.

Case

Paring ceremony site

Organized series of leadership trainings to assist new managers with role transition

?Leadership training

In March 2024 the Company provided leadership training

The Company advocates for continuous learning among managers offers training matched to all levels for many to 14 new managers which included topics like becoming

years constantly strengthens leadership and management skills and continuously enhances their sense of mission a coach-st yle leader enhancing team cohesion and

towards team management thus better equipping them to identify retain and lead talents helping all managers the Roland Berger Skill Model. By integrating internal

to continuously broaden their horizons break boundaries and improve their comprehensive business capabilities cases group discussions and sand table simulations

and strategic thinking to better shoulder greater responsibilities. the Company imparted its management and leadership

philosophies assisting new managers in transitioning from

individual contributors to managers. New leader training site/teaching materials

JSG leadership training system and course setting

Case

Conducted quality and capability enhancement training for team leaders strengthening

their management skills

Role recognition and ability enhancement How to become a coaching leader In August 2024 Ningxia JingHuan specially invited the

of team leaders How to improve team cohesion Party Secretary of the School of Mechanical Engineering

Quality and capability enhancement at Ningxia University to conduct a quality and capability Roland Berger Skill Model

training of team leaders enhancement training for over 60 team leaders and

…… section chiefs. The training included basic management

Time management and efficient execution knowledge case studies and group discussions for

Team building interactive learning enhancing the team leaders' detailed

High-efficiency executive power management capabilities solidif ying the foundation

for cultivating "gold medal" excellent team leaders and

…… enhancing their fundamental exemplary and leading roles

in the Company's development continuously driving new

Current managers' leadership training New managers' leadership training

progress and achievements in the Company's operations. Team leader training site

103 1042024 Environmental Social and Governance (ESG) Report

?Professional and academic advancement

The Company values continuous education and personal growth of employees and sets provisions in the training Business Training

management system for supporting academic and professional certification attainment. In 2024 in collaboration SN Training time Training content Traineeline organization

with the China Certification Center China Association for Quality Inspection and Shangyu District Vocational September High-altitude work Personnel involved in high-

Junior College Social Training and Examination Center the Company organized key personnel from R&D 10 Equipment Sheng'An Academy2024 training altitude work

equipment and safety departments to participate in various professional continuing education courses. A total of

CNY 74240 was invested in these courses with 122 individuals earning professional certificates and a total of 454 Audit capability

employees holding professional titles. JingHuan enhancement training China System Internal auditors of Ningxia 11 October 2024

System of quality safety and Certification Center JingHuan

2024 external professional education promotion training environmental system

November High-altitude work Personnel involved in high-

Business Training 12 Equipment Sheng'An Academy

SN Training time Training content Trainee 2024 training altitude work

line organization

Hazardous chemicals

Hangzhou Jingsheng - R&D December Personnel handling hazardous

Basic knowledge training 13 Equipment operation certificate Sheng'An Academy

Process After-sales Assembly 2024 chemicals

1 January 2024 R&D of vacuum gauge & MKS training

Quality Procurement SPE relevant

technical exchange

personnel of various projects

Knowledge of quality

2 March 2024 Equipment management & quality CAQI Quality related personnel Case

inspection Organized employees to obtain professional certificates supporting career development for

High-altitude work Personnel involved in high- specialized positions

3 April 2024 Equipment Sheng'An Academy

training altitude work

Jingrui Internal auditor Shengwen In July 2024 the subsidiary company Ningxia Jingchuang provided exam fees support and organized

4 May 2024 Quality related personnel

Quality qualification training Technology professional training for employees who need certifications for special positions (such as electricians

forklift operators etc.). A total of 11 employees obtained electrician and forklift certificates with a total

High-altitude work Personnel involved in high-

5 June 2024 Equipment Sheng'An Academy training cost of CNY8800.

training altitude work

Safety training for

6 June 2024 Equipment production and Street Organization Workshop safety officers

operation personnel

Red Cross in

7 June 2024 Equipment First aid training Shangyu District Volunteers

Shaoxing

Safety management Safety experts Key personnel department

JingHuan

8 June 2024 awareness and capability of Ningxia heads and safety management

Security

enhancement training Autonomous Region personnel of Ningxia JingHuan

Social Training Forklift license Special operation certificate of electrician

and Examination

Low-voltage electrician Personnel involved in live

9 August 2024 Equipment Center of Shangyu

training operations

Vocational

Secondary School

105 1062024 Environmental Social and Governance (ESG) Report

Case Two-path development path of JSG's R&D personnel

Organized external professional certificate training to enhance audit capabilities of quality Chief engineer Director

safety and environmental system

In October 2024 Ningxia JingHuan entrusted the China System Certification Center Technical path Senior Engineer Management path

to organize training for all internal auditors to improve their quality safety and

environmental system audit capabilities. This training covered the improvement of

quality safety and environmental system audit capacity and 11 internal auditors Intermediate engineer Deputy director

received internal auditor certificates effectively improving the professional capabilities

of the internal audit team.Internal auditor certificate>> Project leader

Development Path Senior Quality Project Engineer Project Porter Lu Ban fellow expansion competition training Cup Cup

system

JSG has established a scientific talent development system set up a full-cycle professional growth mechanism Assistant Engineer

adhering to a performance-oriented principle and formed a working mechanism and process of evaluating

performance as the standard and providing regular performance evaluation and feedback to employees providing Case

all employees with performance evaluation and promotion opportunities twice a year. The Company offers three-

sequence mode allowing employees to develop towards technical experts and business talents through different "Passing down the spirit of Craftsmanship from generation to generation" - JSG held the

sequence achieving a synergy between individual career goals and corporate strategic objectives continuously seventh "Lu Ban Cup" Skills Competition

enhancing organizational talent density and core competitiveness.In December 2024 JSG held the seventh "Lu Ban Cup" Skills Competition themed "Taking flight and embarking on a grand

Development path map of JSG's three-sequence talents journey". The competition required four teams composed of mechanical engineers from the R&D Center and process

engineers measurement engineers CNC engineers and technicians from the manufacturing workshop to design

and produce high-precision functional crafts within five days. The event aimed to train participants in design skills and

manufacturing techniques through competition enhancing their awareness of process standardization and teamwork.Ultimately the work "JingHong Takes Flight" stood out for its precision craftsmanship and beautiful design winning

Technical experts Business talents the competition. This work fully demonstrated the excellent abilities in mechanical processing assembly welding

and surface treatment while also strengthening the project collaboration skills of the teams embodying the

"Craftsman Spirit" always advocated by JSG.Project management talents Technical talents Management talents

All participants of "Lu Ban Cup" competition Staff participating in the "Lu Ban Cup" studied carefully

R-sequence R&D class P-sequence production class M-sequence management functional class

Additionally the Company implements a differentiated cultivation strategy for the R&D team establishes a dual-path

career development model for professional engineers primarily based on multiple choices supplemented by project

training competitions and quality development measures to ensure targeted planning enabling R&D talents to grow

alongside the Company and fostering a healthy ecosystem of talent growth and strategic organizational development. Staff participating in the "Lu Ban Cup" studied carefully

107 1082024 Environmental Social and Governance (ESG) Report

Case Case

JSG's 19th "Porter Cup" concluded ensuring the development of innovative high-quality talent Pursuing dreams and keeping fighting JSG hosted the 2024 New Youth Endurance Challenge

The "Porter Cup" is a longstanding and significant event at the JSG R&D Center. In October 2024 the three- JSG has been holding the Youth Endurance Challenge for

day event concluded marking its nineteenth edition. Themed "Forging ahead leading innovation" the ten consecutive years. In September 2024 the Company

Competition brought together over 40 mechanical and process engineers from the R&D Center. Through the conducted the "Pursuing Dreams - JSG 2024 New Youth

"Porter Cup" competition the Company helped employees quickly master project management knowledge Endurance Challenge" with top executives heads of

and grow into outstanding project leaders while also strengthening the comprehensiveness of the R&D R&D and over 200 new R&D staff completing a 30km

team improving team collaboration and thereby enhancing the overall R&D and operational efficiency of expansion challenge together. All participants reached

the Company. the finish line after more than six hours successfully

completing the challenge. The three teams with the

shortest completion times were awarded honorary

trophies displaying a spirit of striving for excellence and

competition.New Youth March Challenge

Employee Care

All participants of the 19th "Porter Cup" Competition

JSG has fully considered the needs of employees and set up an influential welfare plan to provide welfare benefits

for all employees including but not limited to: social insurance welfare holidays holiday benefits subsidies and

employee activities. The Company advocates a healthy lifestyle encouraging employees to maintain balanced

diets moderate exercise and regular sleep patterns. It organizes sports competitions and other activities to meet

employees' material and spiritual needs for work and life creating a happy and harmonious work atmosphere.Key Performance

In 2024 the Company achieved a 100% coverage rate for social insurance a 100% rate for labor

contract signings. Employees have the option to join the union upon employment with a union coverage

rate of 96%.

19th "Porter Cup" Competition site

109 1102024 Environmental Social and Governance (ESG) Report

JSG's employee welfare system

Welfare type Content Beneficial group Welfare type Content Beneficial group

* F ive social insurances and one

housing fund * E mployee wedding gift

* Meal supplements provided in staff

canteens * Employee childbirth gift

* Periodic physical examination * A ll members Trade

Basic welfare * Employee hospitalized visit

* Dormitory available Union * All Trade Union members

welfare * Natural disaster visit

* S huttle bus available * Funeral expenses of active

* S upplementary commercial employees

insurance * Frequent business travelers

* Trade Union holiday benefits

* T ransportation subsidy

* Employee purchasing

Various

* Travelling subsidy * A ll members Other * Cafe bar * A ll members

subsidies

* G ym

* High-temperature subsidy

* Annual leave * All employees

Holidays * Welfare leave * A ll employees

* Various statutory holidays * A ll employees and all female employees on Women's Day

Employee gym Staff badminton match Employee cafe bar Employee purchasing Staff badminton match

promotional poster promotional poster

Employee gym Staff badminton match Staff canteen Staff dormitory of JingHong Precision Sports Center

111 1122024 Environmental Social and Governance (ESG) Report

Occupational Health and Safety Safety Management Organization

JSG consistently adheres to the philosophy of safety production. Under the EHS management system JSG

JSG strictly follows the Safety Production Law of the People's Republic of China and is committed to providing a safe and has established a Joint Safety Production Committee and a Safety Execution Team implemented top-down

healthy work environment for its employees. The Company has legally established and continually improves an occupational occupational health management meticulously planned safety management and audit work and incorporated

health and safety management system sets safety management goals and tracks the achievement of these goals. It safety management objectives into the entire safety production process.constantly strengthens supervision and management of safety production identifies and controls occupational health

and safety risks regularly reviews and updates emergency response plans for incidents and has obtained the ISO 45001

Occupational Health and Safety Management System certification effectively ensuring the health and safety of its employees.Safety management organizational structure

Key Performance

In 2024 the Company invested a total of CNY 13.85 million in safety production.Joint Safety

Safety Execution

Board of Directors 中Ch级a工irm程a师n P中ro级d工uc程tio师n 中级工程师

2024 safety management objectives and achievements TeamCommittee

Safety Management Objective Index Achievement

Identification and effective control rate of major hazard sources 100% 100%

*Responsibilities of joint safety production committee

Major production safety accidents/personal injury accidents 0 0

Rectification rate of hidden safety hazards 100% 100%

Complete rate of safety facilities and equipment 100% 100%

Special equipment inspection qualification rate/personnel

100%100%

certificate holding rate

Implement the Implement Review and approve

Incidence of occupational diseases 0 0 principle of "safety first comprehensive the safety production

prevention foremost management of safety policies objectives

and comprehensive work of companies management plans

management" enforce all in the joint area and regulations safety

relevant laws regulations be responsible for measures and plans of

rules and standards coordinating guiding the affiliated companies

study important issues and supervising safety and supervises their

ISO 45001 Occupational Health and Safety on safety production production work; implementation.Management system certification and report safety work to

superior authorities and

local safety committees

in a timely manner;

113 1142024 Environmental Social and Governance (ESG) Report

*Responsibilities of safety execution team Case

Conducted the Safe Production Month activity to enhance all-employee awareness of safety

?Diligently implement national guidelines policies laws and regulations on safety production and the production

Company's safety management regulations;

In June 2024 JSG and its subsidiaries implemented multiple measures to closely follow the theme of Safe Production

? Implement the work requirements conveyed by the Joint Safety Production Committee and improve the Month which is "Everyone cares about safety and everyone can respond to emergencies" to effectively grasp all the

supervision and management of safety environmental protection fire safety special equipment occupational work implement the safety issues and to organize and carry out a series of activities for safe production month. All

health and other safety supervision work in each regional company; subsidiaries have carried out fire evacuation of all employees special drills for natural gas leakage in canteens etc. In

June a total of 35 emergency drills were organized with a total of 1578 participants.?P articipate in formulating and revising various regulations on safety production and supervise their execution;

? Assist the Company leaders in organizing safety production meetings regularly organize department heads for

major safety inspections organize accident investigations and implement the principle of "no leniency";

?B e responsible for organizing the Company's safety production publicity education and job safety skills

training supervising the implementation of the three-level safety education for employees;

Series activities for safe production month

? Be responsible for organizing the compilation and improvement of emergency plans for production safety

accidents environmental and hazardous waste accidents and organizing emergency plan drills; Case

? Organize the Joint Safety Production Committee to hold a safety special meeting semi-annually the Safety Conducted three-level safety training to fortify the safety frontline for new employees

Execution Team to hold a safety special meeting quarterly and each area to organize a safety special meeting

monthly regularly collaborating with various departments for on-site safety production inspections.In 2024 JSG and its subsidiaries strictly implemented the

pre-job safety access mechanism for new employees

and carried out 24-hour three-level safety training and

Safety Emergency Response and Awareness Training education for new employees and transferred personnel.The company-level training covers the company-level

department-level and team-level trainings and adopts

JSG vigorously promotes the construction of a safety culture formulates and strictly implements emergency

the "theory + practice + assessment" model to ensure

response plans and annual safety training programs. The Company regularly organizes employees to participate

that employees can only take up their posts after 100%

in various types of emergency drills and training supplemented by diverse assessment methods such as Q&A

mastering safety norms effectively improving the

tests practical operations and certifications. This approach enhances all employees' awareness of production

safety literacy of all employees and consolidating the

safety strengthens their self-rescue and emergency skills in dealing with environmental incidents minimizes

foundation of corporate safety production.accident hazards reduces the impact of unforeseen events and enhances employees' practical safety production

capabilities creating a safe enterprise.Key Performance

In 2024 the Company conducted over 340 safety training sessions including approximately 116 special

emergency drills with a total of about 10645 participants completing 100% of the planned annual

training according to schedule.Three-level safety training.

115 1162024 Environmental Social and Governance (ESG) Report

Case Case

Enhancing firefighting practical skills to strengthen safety for all employees Building emergency medical skills to protect the health and safety of all employees

To further solidify employees' fire safety literacy the Company conducted comprehensive fire training From March to June 2024 JSG and its subsidiaries jointly conducted special training on first aid skills to

drills. Through a "theoretical instruction + scenario simulation" dual-track approach they enhanced the comprehensively enhance employees' emergency response capabilities adding practical assurance to the

level of emergency response. Practical exercises included escaping from fire operating fire extinguishers Company's safety measures. In March Jingyu New Materials organized full staff training on cardiopulmonary

and providing first aid to the injured. The training also covered fire case studies causes of fires evacuation resuscitation (CPR) focusing on the process for handling sudden cardiac arrests. Concurrently Qiushi

sign recognition and escape route planning. All participating employees passed the practical assessment Semiconductor invited emergency responders from the Linping District Red Cross to give on-site lessons

effectively mastering the abilities to "raise an alarm evacuate extinguish fires and self-rescue" providing on using first aid kits and trauma bandaging disseminating CPR skills with 64 individuals passing the

strong security for the Company's safety production. A total of 124 emergency drills were organized with a assessment and obtaining first aid certificates. In June JSG specially invited experts from the Zhejiang Red

total of 4459 participants. Cross to provide training with 30 people earning first aid certificates achieving a 100% pass rate.CPR training

Paramedics teach on site of Zhejiang Red Cross Society and Linping District Red Cross

Fire safety drill training

117 1182024 Environmental Social and Governance (ESG) Report

Occupational Health Management Occupational health management measures

JSG prioritizes employee health and safety strictly adhering to the Law of the People's Republic of China on Work Safety and

the Law of the People's Republic of China on Prevention and Control of Occupational Disease. The Company has established * E mployees are informed about occupational hazards and their effects protective

and continually improves various occupational health management systems such as the Occupational Hazard Prevention measures and emergency procedures through the posting of occupational

and Control System Occupational Hazard Notification System Occupational Hazard Reporting System and Occupational disease hazard notification cards at affected workstations and the placement of

Occupational hazard

Health Operation Standards for specific posts. Through graded management of safety and health JSG continuously hazard information and warning signs.notification

identifies controls and prevents occupational health and safety risks prioritizing process optimization for positions with high

labor intensity potential periodic fatigue and occupational hazards to reduce health and safety risks for employees.The Company places high importance on employee occupational health and safety strictly complies with national * I dentify and monitor occupational disease hazard factors consistently establish

regulations and standards and fully implements noise protection and on-site labor protection usage requirements. Noise a list of high-risk positions for occupational diseases and continually improve

protection involves regularly equipping employees with standard-compliant earplugs and other protective gear ensuring routine monitoring and managementOccupational hazard * P urchase and maintain safety health and environmentally friendly equipment

correct wear and use. Additionally to address dust hazards the Company has installed dust removal facilities such as local prevention and control and facilities including special equipment inspections to continuously conduct

exhaust systems and dust collection devices and maintains them regularly to ensure their normal operation. In dust-related management hazard protection maintenance and repairs

work areas employees are required to wear dust masks protective goggles and other labor protection supplies effectively

reducing the risk of dust exposure. This ensures that the work environment meets occupational health standards and

genuinely protects the health and safety of employees.* D epending on the hazard factors of different positions provide labor protection

Case supplies that meet local occupational health and safety protection requirements

Provision of including safety helmets noise-reducing earplugs specialized masks safety

Organized occupational health training to improve employees' protection ability protective gear and shoes protective goggles and cut-resistant gloves.safety equipment

In November 2024 JingHuan Electronic organized an occupational health site training focusing on occupational

health regulations correct use of labor protection supplies emergency response measures and typical accident

cases. A total of 18 employees participated the training with a 100% pass rate in the assessment. * S tandardize the work injury accident investigation and handling processes

immediately transport the injured to medical facilities and establish an accident

investigation team to investigate and formulate corrective and preventive

Work injury accident measures continuously monitoring the implementation of these measures.handling

* E nsure full-cycle coverage of pre-employment during employment and post-

employment medical examinations for employees in positions with occupational

contraindications

Employee health * E stablish and maintain employee occupational health surveillance records

Occupational health training site check-up

* O rganize periodical health examinations for all current employees

Key Performance

* T he Company develops an annual safety training plan which includes occupational

117 100% health training on topics such as noise and sound protection proper use and In 2024 a total of person-times participated in occupational health-related training with a wearing of on-site labor protection equipment dust hazards and protective

pass rate in the assessment. Occupational health measures and requirements for dust control facilities

and safety training

119 1202024 Environmental Social and Governance (ESG) Report

6 Public Welfare 123 Rural revitalization 125

Staying True to Original

Aspiration Feeding Back

the Society with Gratitude

JSG is always grateful to the society and actively organizes public welfare

activities to repay the society through various practical actions. The Company

focuses on education sports and healthcare among other sectors conducting a

variety of charitable activities to continuously contribute its strength and support

the vibrant development of society. JSG employees actively participate in blood

donation make donations to elementary schools and universities to support

the development of talents across various age groups and assist in agricultural

support to facilitate the smooth implementation of the rural revitalization.

121 1222024 Environmental Social and Governance (ESG) Report

Public Welfare Case

JSG is keenly aware of the symbiotic relationship between corporation and society and always actively practices social

responsibility with gratitude. By sponsoring sports events donating money to schools and organizing blood donations etc.JSG not only effectively feeds back to society but also highlights its commitment to corporate social responsibility and the

concept of citizenship. These efforts make positive contributions to the construction of a more harmonious and caring social

environment and contribute JSG's power to the promotion of social sharing and sustainable development.JSG fully supports the development of education Marathon activity site sponsored by JSG

January 2024 December 2024 December 2024 Case

JSG organized employee's blood donation event

Donation to Binjiang Donation to Bowen Donation to Zhejiang

Elementary School Elementary School University Education In October 2024 the Company organized a blood donation event with a total of 200 employees actively

Foundation participating in the blood donation. Over the years the Company has organized several blood donation

events with employees conveying a spirit of love and charity to society contributing to the continuation of

The Company established The Company donated The Company participated life and helping build a more harmonious and caring social environment.the "JSG Education Reward CNY 100000 to the Bowen in the donation to Zhejiang

Fund" donating CNY 100000 Elementary School to University Education

to Binjiang Elementary cultivate more outstanding Foundation totaling CNY

School in Shangyu District students and promote 7000000 to promote the

Shaoxing City to support the educational equity and cultivation of talents in

development of the school's social development. universities and help the

educational and sports cultivation of national high-

programs. tech talents.Case

JSG sponsored the Marathon activity

In April 2024 JSG sponsored and participated in

the 2024 Shaoxing * Shangyu Half Marathon and

the eighth Shaoxing * Shangyu Cao'e River Half Employee's blood donation event

Marathon along with the third Shaoxing * Shangyu

Marathon for Thousands of PhDs and Young Talents.The Company continued its sponsorship for the Key Performance

second consecutive year with a contribution of CNY

300000 demonstrating its commitment to the In 2024 the Company's total donations amounted to CNY 7.5 million.

development of local sports and showcasing its

corporate social responsibility. Marathon activity site sponsored by JSG

123 1242024 Environmental Social and Governance (ESG) Report

Rural Revitalization Case

JSG continuously purchased grapes from Hongxing Village to support rural revitalization

JSG actively responds to the national strategy for rural revitalization leveraging its technological and resource

advantages to promote rural economic development and facilitate coordinated development between urban and JSG actively fulfills its social responsibilities by continuously purchasing grapes from the grape plantation

rural areas. The company continuously works to consolidate and expand the achievements in poverty alleviation in Hongxing Village Pujiang County Jinhua City Zhejiang Province as employee benefits thus aiding

contributing to the creation of a better rural environment. local rural revitalization efforts. In 2024 the Company renewed its grape purchase agreement with

Hongxing Village acquiring a significant quantity of high-quality grapes for distribution to employees. JSG

Case will continue to explore additional methods to support rural revitalization actively contributing to the

modernization of agriculture and rural areas and achieving mutual development with the community.JSG Purchased special agricultural products to spread warmth during the Spring Festival

On the eve of the Spring Festival in 2024 the Company proactively connected with Shanqian Village in

Wangcunkou Town Suichang County Zhejiang Province. JSG purchased over 7000 gift boxes containing

local specialties such as dried bamboo shoots ecological pork and traditional sugar cakes as Spring

Festival benefits for employees. This initiative helped open up market channels for local farmers effectively

addressing issues of unsold agricultural products and supporting the socio-economic development of the

rural area thus fostering a better future together.Purchase farmer products from Pujiang

Case

JSG held the sixth Lamb Roast Festival

In D e cemb er 2024 the Company purchas e d

specialty lamb meat from Ningxia and organized

the sixth Lamb Roast Festival a traditional cultural

event for all employees. This event not only boosted

employee job satisfaction but also suppor ted

Centralized procurement of special agricultural products as employees Spring Festival benefits rural industry development contributing to local

economic growth and increased income for farmers

in alignment with the rural revitalization strategy.Case

JSG supported Tonghe Village of Jinkouhe District to consolidate poverty alleviation achievements

In September 2024 JSG signed a "Village-Enterprise Pairing" donation agreement with the Red Cross of Shangyu

District Shaoxing and Tonghe Village in Jinhe Town Jinkouhe District. The Company donated the first installment

of CNY 20000 to support the area's efforts in consolidating poverty alleviation outcomes and promoting rural

revitalization. This contribution showcases the Company's commitment to corporate social responsibility helping to

build a harmonious society and drive rural revitalization. Moving forward JSG plans to explore more support models

tailored to the sustainable development of Tonghe Village using its resource advantages. Lamb Roast Festival

125 1262024 Environmental Social and Governance (ESG) Report

ESG Performance Environment

Three wastes management (waste water waste gas solid waste)

Data item Unit 2024 2023 2022

Economy

Total recyclable waste Ton 2062 1500 1800

Financial indicators

Total general solid wastes Ton 2915 1100 600

Data item Unit 2024 2023 2022

Total general solid waste recycled Ton 920 140 1200

Operating income CNY 10000 1757661 1798319 1063831

Total wastewater discharge m3 1026122 958057 763947

Net profit attributable to parent

CNY 10000 250973 455751 292437

company Total wastewater circulation m3 201212 45907 33569

Total asset CNY 10000 3155018 3680836 2888928 Water resource

Amount of tax paid during the reporting

CNY 10000 138383 165275 150184 Data item Unit 2024 2023 2022

period

Purchased municipal water m3 3096422 3028793 922323

Consumption intensity of water t/CNY10000 revenue 1.76 1.68 0.87

Governance resources

Diversity of the Board of Directors Water circulation

m3 88375469 34571430 29567698

Energy consumption and greenhouse gas

Data item Unit 2024 2023 2022

Data item Unit 2024 2023 2022

Members of the Board of Directors Persons 9 9 9

Diesel consumption Litre 25526 34710 166056

Number of female directors Persons 2 2 2

Gasoline consumption Litre 20625 15080 31084

Number of independent directors Persons 3 3 3

Renewable energy consumption KWh 8389021 11764975 7948948

Business ethics

Purchased electricity consumption KWh 541025999 484010108 255969990

Data item Unit 2024 2023 2022

Total greenhouse gas emissions tCO2 308561 276046 146478

Number of reported incidents of anti-

/000

corruption tCO2/CNY10000 Greenhouse gas emission intensity 0.18 0.15 0.14

revenue

Coverage rate of employees receiving

%100%100%100%

anti-corruption training PV power generation '0000 kWh 1482 1038 345

Safety and environmental investment

Data item Unit 2024 2023 2022

Amount of green environmental

CNY 10000 3582 3833 2875

protection investment

Amount of safety production investment CNY 10000 1385 904 855

127 1282024 Environmental Social and Governance (ESG) Report

Society Society

Employee Retention1 R&D

Data item Unit 2024 2023 2022 Data item Unit 2024 2023 2022

Core employee turnover rate % 6.67 3.39 5.56 Total number of R&D personnel Persons 1588 1678 1354

Average years of employment of core

Year/person 9.71 8.77 8.76 Proportion of R&D personnel in total employees % 25.99 22.39 17.61

employee: Male

R&D investment CNY 10000 111919 114540 79633

Average years of employment of core

Year/person 8.83 7.85 8.89

employee: Female Intellectual property

Employee diversity Data item Unit 2024 2023 2022

Data item Unit 2024 2023 2022 Cumulative number of patents as of December 31

Pcs 1069 914 644

2024

Total employees Persons 6111 7495 7688

Cumulative number of invention patents as of

Number of disabled employees Persons 7 5 3 Pcs 256 172 81December 31 2024

Number of minority employees Persons 274 304 378 Number of new patents in 2024 Pcs 323 345 141

Female employee development Number of new invention patents in 2024 Pcs 105 92 15

Data item Unit 2024 2023 2022 Industry development

Number of female employees Persons 976 1165 1032 Data item Unit 2024 2023 2022

Cumulative number of standards led or

Number of female management2 Persons 59 57 34 Pcs 23 19 18participated

Number of female executives3 Persons 17 15 9 Supply chain

Data item Unit 2024 2023 2022

Training

Total number of suppliers / 1386 1504 1094

Data item Unit 2024 2023 2022

Total number of trained employees Persons 6111 7495 7688 Percentage of suppliers signed Supplier Code of % 100% 100% 100%

Conduct

Total training hours of employees hr 22 17.5 23 Percentage of suppliers with clauses that include

%100%100%100%

environmental and labor requirements

Percentage of suppliers conducted social impact

%94%93%91%

assessments

Percentage of suppliers conducted environmental

Note 1: Core employees refer to those with a job level of 7 and above at JSG. % 94% 94% 92%impact assessments

Note 2: Female management refer to those with a job level of 5 and above at JSG.

3 Percentage of purchasers trained in sustainable Note : Senior executives are selected for the positions of director deputy director general manager vice general manager % 100% 100% 100%

procurement

president and vice president.

129 1302024 Environmental Social and Governance (ESG) Report

Index of Indicators

Self-Regulatory Guidelines for Shenzhen Stock Exchange Listed Companies No. 17—Sustainable Self-Regulatory Guidelines for Shenzhen Stock Exchange Listed Companies No. 17—Sustainable

Development Reporting (Trial) (April 2024) Benchmarking Index Table Development Reporting (Trial) (April 2024) Benchmarking Index Table

Index Corresponding section of this report Index Corresponding section of this report

Climate change tackling Equal treatment to small and medium- Business ethics

Climate change tackling

ESG Performance sized enterprises ESG Performance

Efficient resource usage Quality management

Pollutant discharge Safety and quality of products and

ESG Performance Customer services

services

Efficient resource usage ESG Performance

Waste disposal

ESG Performance Data security and customer privacy Privacy and Information Security

Not involved. The company's operational sites are not located within key protection ESG Performance

protected areas and its production and business activities do not have Employee rights and benefits

Ecosystem and biodiversity protection

significant negative impacts on ecosystems and biodiversity. Therefore Employee development

this issue has not been included as an ESG topic by Yealink. Employees Employee care

Environmental compliance Environmental compliance management Occupational health and safety

management ESG Performance ESG Performance

Efficient resource usage Business ethics

Energy usage Due diligence

ESG Performance Climate change tackling

Efficient resource usage Communications with stakeholders ESG Management

Usage of water resources

ESG Performance Anti-commercial bribery and anti- Business ethics

Efficient resource usage corruption ESG Performance

Circular economy

ESG Performance Business ethics

Anti-unfair competition

Rural revitalization ESG Performance

Rural revitalization

ESG Performance

Social welfare

Contributions to the society

ESG Performance

Innovation-driven

Innovation-driven

ESG Performance

Not involved. The company's core business does not involve gene editing

artificial intelligence ethics or other related fields. There are no topics

Ethics of science and technology

related to technological ethics in its business activities and this issue

has not been included as an ESG topic by Yealink.Supply chain security

Supply chain security

ESG Performance

131 1322024 Environmental Social and Governance (ESG) Report

Reader Feedback

Dear Reader

Greetings!

Thank you very much for taking time to read the 2024 Environmental Social and Governance (ESG) Report. In order

to provide you and other stakeholders with more valuable information and effectively promote the Company's

ability and level of fulfillment of corporate social responsibility we sincerely look forward to your comments and

suggestions.Choice Questions (please tick in the appropriate box)

1.What is your overall evaluation of this Report

□ Very Good □ Good □ Medium □ Relative Poor □ Poor

2.How are the report responses and disclosures to stakeholder concerns

□ Very Good □ Good □ Medium □ Relative Poor □ Poor

3.How do you think JSG is doing in terms of economic responsibility

□ Very Good □ Good □ Medium □ Relative Poor □ Poor

4.How do you think JSG is doing in terms of environmental responsibility

□ Very Good □ Good □ Medium □ Relative Poor □ Poor

5.How do you think JSG is doing in terms of safety management

□ Very Good □ Good □ Medium □ Relative Poor □ Poor

6.How do you think JSG is doing in terms of employee responsibility

□ Very Good □ Good □ Medium □ Relative Poor □ Poor

7.How do you think JSG is doing in terms of community responsibility

□ Very Good □ Good □ Medium □ Relative Poor □ Poor

8.Are the information indicators and data disclosed in the Report clear accurate and complete

□ Very Good □ Good □ Medium □ Relative Poor □ Poor

9.Do you find the organization and layout of this Report easy to read

□ Very Good □ Good □ Medium □ Relative Poor □ Poor

Open-ended Question

Do you have any comments or suggestions on the fulfillment of social responsibility by JSG and this Report

133134