Luxshare Precision Unveils 2025 Sustainability Report: A Commitment to Responsible Operations

Luxshare Precision Industry Co., Ltd., has taken a significant step forward in its commitment to sustainability with the release of its 2025 Sustainability Report. The report provides a comprehensive overview of the company's progress across environmental, social, and governance (ESG) priorities, reinforcing its dedication to responsible operations worldwide. By detailing measurable advances in ESG governance, climate strategy, supply chain oversight, human rights protection, and sustainable innovation, Luxshare Precision demonstrates its resolve to embed sustainability into every facet of its business strategy and governance structures.

Aligned with internationally recognized frameworks such as the Global Reporting Initiative (GRI) Standards and the Task Force on Climate-related Financial Disclosures (TCFD), the report underscores Luxshare Precision's continued efforts to strengthen its ESG governance framework. Led by its Board of Directors, the company maintains a three-tier ESG governance structure that encompasses decision-making, planning, and execution. This robust framework, coupled with a notable 37.5% independent and female representation on the board, ensures balanced and transparent decision-making processes.

Building on its governance foundation, Luxshare Precision has set its sights on the future with the introduction of new 2030 targets that span governance, operations, products, partnerships, and workplace practices. These ambitious targets focus on critical areas such as emissions reduction, energy efficiency, responsible sourcing, innovation, and employee well-being, providing a forward-looking roadmap for sustainable development across the value chain. The company's commitment to achieving carbon neutrality by 2050, as validated by the Science Based Targets initiative (SBTi), marks a significant milestone in its climate action strategy.

The report highlights tangible progress in Luxshare Precision's sustainability endeavors. Notably, clean energy accounted for 64% of total consumption, while absolute Scope 1 and 2 emissions decreased by 25% compared to 2022 levels. Moreover, Scope 3 emissions per CNY of value added were reduced by 19%, reflecting the company's ongoing efforts to decarbonize across the value chain. Supplier engagement has played a critical role in these efforts, with training, on-site engagement, and broader capacity-building initiatives enhancing suppliers' environmental management capabilities and leading to significant energy savings and emissions reductions.

Luxshare Precision's strong focus on transparency, traceability, and risk management across the supply chain is also underscored in the report. The company's multidimensional risk framework, which spans labor management, occupational health and safety management, environmental management, business ethics, and management systems, ensures a comprehensive approach to supply chain oversight. The implementation of the Supplier Code of Conduct, coupled with rigorous CSR audits, has led to the identification and addressing of risk-related issues, demonstrating a closed-loop system from risk identification to remediation.

In recognition of its exemplary performance, Luxshare Precision received an A rating in the CDP Climate Change questionnaire for the second consecutive year. This achievement is a testament to the company's unwavering commitment to sustainability and its proactive approach to addressing climate-related challenges. As Luxshare Precision continues on its sustainability journey, its dedication to responsible operations, coupled with its strategic vision for a more sustainable future, is poised to leave a lasting impact on the industry and beyond.