Green and low-carbon, to inject vitality and vigor for the sustainable development of the enterprise!

As China's economy transitions toward high-quality development, the conflict between resource utilization and environmental protection has become increasingly prominent. In response, the state has intensified environmental governance, firmly upholding the development philosophy that "lucid waters and lush mountains are invaluable assets," and is determined to win the battle against pollution. In 2024, NEV products accounted for 39.54% of the company's total sales. We strictly adhere to the three critical safety principles production, fire prevention, and environmental protection to safeguard the foundation of our group's growth while enhancing our core competitiveness through green and sustainable strategies.

By upgrading environmental protection equipment and continuously increasing investments in eco-friendly initiatives, we ensure compliance with emission standards and strive to build green factories. Three companies within CAIP Group have been awarded the Green Factory title by the Ministry of Industry and Information Technology. Embracing a low-carbon development philosophy, we advocate for the use of clean, green electricity in production, investing in rooftop-distributed photovoltaic power generation and ground-source heat pump projects. These efforts reduce annual CO₂ emissions by approximately 25,000 tons, significantly cut ash and smoke emissions, conserve water, and minimize wastewater discharge, demonstrating remarkable energy-saving and emission-reduction results.

Moreover, we integrate environmental protection into our sustainable development strategy, proactively adopting an eco-friendly and resource-efficient model. In areas such as new product development, production process improvements, technological equipment upgrades, and workflow optimization, we increase R&D investment, implementing multiple measures to continuously reduce energy consumption and carbon emissions. Environmental management indicators are embedded in every stage of production, supported by a well-defined target responsibility system to ensure that sustainability principles are deeply ingrained in every employee.

Additionally, we have proactively entered new energy market, focusing on lightweight technologies, advanced materials, and innovative processes through products such as hemp fiber, carbon fiber, and plastic tailgates, as well as steel-replacement technologies. In production, we have self-developed flexible automated production lines, utilizing ultrasonic welding, hot riveting, and automated edge-wrapping, and invested in water-based automated painting lines that replace organic solvents with pure water. Our products offer a range of finishes glossy, matte, high-gloss U, and electroplating-like while being more eco-friendly, healthy, and safe. By embracing intelligent manufacturing, we align with the national energy-saving and emission-reduction roadmap, proactively supporting China's carbon neutrality goals and fully demonstrating our corporate responsibility and commitment.