June 15,2022

To our stakeholders:

I am pleased to confirm that [ Company Name ] reaffirms its support of the Ten Principles of the United Nations Global Compact in the areas of Human Rights, Labour, Environment and Anti-Corruption.

In this annual Communication on Progress, we describe our actions to continually improve the integration of the Global Compact and its principles into our business strategy, culture and daily operations. We also commit to share this information with our stakeholders using our primary channels of communication.

Sincerely yours,

Ningchuan Li
GM

We always advocate and adhere to the people-oriented management concept, and prohibit all violations of labor rights laws, regulations and standards. The company prohibits discrimination against women, persons with disabilities or ethnic minorities.
We have set relevant goals, such as the signing rate of labor contracts, the number of discrimination incidents, etc.

We have set up a suggestion box on site and clarified the grievance mechanism in the document;
We have established an annual training plan, including training on respect for human rights and prevention of discrimination. And signed agreements with suppliers to support human rights.

The discrimination or harassment incidents are 0, and the completion rate of relevant training on Prohibition of discrimination and respect for human rights is 100%.
In 2021, ethnic minorities accounted for 14% of the company's employees, disabled employees accounted for 0.34%.

In order to fully protect and safeguard the rights and interests of employees, the company has established a trade union organization. The document clearly stipulates that forced labor, child labor and discrimination are prohibited. The employee handbook and the signed labor contract clearly stipulate the employee's rights and responsibilities and inform the salary payment date. And set targets for contract signing rate, timely wage payment rate, child labor misuse rate, forced labor events, etc.

We have set up a suggestion box on site and clarified the grievance mechanism in the document; We have formulated an annual training plan, including the elimination of all forms of forced and compulsory labor, the prohibition of child labour, and the elimination of discrimination in employment and occupation. The trade union held regular elections, safeguarded the rights and interests of internal employees and signed a collective agreement with the company. The company has distributed all kinds of labor protection articles, implemented fire drills, and organized personnel at occupational disease posts to carry out physical examinations, so as to ensure the health and safety of all employees.

In 2021, the company had an average of 961 employees, of which 67% were male and 33% were female. The company has 45 management personnel, including 38 males and 7 females.
The contract signing rate is 100%, the timely wage payment rate is 100%, the child labor misuse rate is 0%, and the forced labor event is 0.

We have established an internal environmental management system based on ISO14001 system. Carry out internal environmental protection based on the environmental safety management manual and relevant procedure documents. In order to implement the responsibility of environmental protection, the company has set up a "work safety committee" to be responsible for the investigation of potential safety hazards of the environment and employees. And continuously strengthen the employees' awareness of environmental protection, adopt advanced technology, and improve the efficiency of energy conservation, emission reduction and environmental protection.

We have set targets for the number of fires, the legal transfer rate of hazardous wastes, the compliance of exhaust gas discharge, local pollution events, etc.

We have formulated an annual training plan, including the training of all employees' awareness of environmental protection and energy conservation. The annual amount of general wastes and hazardous wastes and the energy consumption are also counted. The productivity is improved by adopting new process equipment on site, and the energy consumption is reduced through various online offices. According to the requirements of ISO14001 system, we have determined the internal environmental responsibility distribution of the company, set the management objectives of the environmental management system, and monitored and improved the performance.

In 2021, we strictly comply with the requirements related to the environmental principles of the global compact, and our internal goals have been achieved. The number of fires is 0, the legal transfer rate of hazardous wastes is 100%, the compliance emission of exhaust gas is 100%, and the local pollution event is 0.

In order to prevent unethical behaviors, promote honest operation, maintain the company's image and further make the company stable, healthy and sustainable development, the company has formulated the code of business ethics management to supervise and prevent various forms of corruption and bribery within the company, and has signed agreements with relevant parties, including customers and suppliers, to jointly maintain a clean and fair business environment. And we have set targets for the number of cases of corruption and bribery.

We have set up a suggestion box on site and clarified the grievance mechanism in the document; We have formulated an annual training plan, including anti-corruption related training for sensitive posts, such as supplier management department, marketing department, finance department, etc. And signed the letter of commitment for integrity and self-discipline with personnel in sensitive positions. The company regularly evaluates the business moral hazard every year, including anti-corruption related content.

In 2021, we strictly complied with the anti-corruption requirements of the global compact, no corruption and bribery related incidents occurred, and our internal goals have been achieved. The number of corruption and bribery cases is 0.