2017 BYD CSR REPORT

BYD COMPANY LIMITED

Address: No.3009, BYD Road, Pingshan District, Shenzhen, 518118 Tell: +86-755-89888888 Fax: +86-755-84202222 Website: www.byd.com.cn ABOUT THIS REPORT CONTENT

B Y D C o m p a n y L i m i t e d ( “ B Y D ” o r t h e Exchange (“SZSE”), the “Guide to the “Company” or “we”) actively reports to the Preparation of Corporate Social Responsibility public the Company's status in relation to social Reports of China” (CASS-CSR 3.0) of the r e s p o n s i b i l i t y, e n a b l i n g t h e p u b l i c t o Chinese Academy of Social Sciences and the understand, monitor and supervise the social “Sustainability Reporting Guidelines 4.0” (G4) Sustainable responsibility performance of BYD. Since 2010, of the Global Reporting Initiative (GRI). For CSR Management BYD has released its social responsibility details of the indicators disclosed in the Report, 03 About Us r e p o r t a n n u a l l y t o d i s c l o s e t h e s o c i a l please see the index set out at the end of this Message from 07 CSR Strategy responsibility philosophy and practice of BYD, Report. the President 1 0 Social Responsibility Communication which facilitates the mutual understanding, This Report is to be approved by the board of communication and interaction between BYD 1 1 Stakeholder directors (the “Board”) of the Company on 27 1 2 Engagement and its stakeholders and the public and March, 2018 with the confirmation of the promotes the sustainable development of the management of the Company. Company. BYD strictly enforces green and environmental This Report covers BYD Company Limited and protection and therefore does not provide a Responsible Operation its subsidiaries and the reporting period is from hard copy of this Report. To view or download 17 Operation and Management 1 January, 2017 to 31 December, 2017, with the BYD Social Responsibility Report online, 21 Caring for Employees some information relating to prior years. The p l e a s e v i s i t B Y D ' s o ff i c i a l w e b s i t e a t 27 Protecting Investors’ Rights and Interests data in the Report were collected in the existing (www.byd.com. cn) or the official websites of 29 Protecting Customers’ Rights and Interests 31 Supply Chain Management management procedures of the Company. All HKEX or SZSE. 37 Safety Production Management financial figures are in Renminbi, except We wish to thank our stakeholders for their 39 Reducing the Impacts on the Environment otherwise indicated. As the social responsibility 3 opinions and suggestions relating to our social m a n a g e m e n t s y s t e m o f t h e C o m p a n y responsibility report and we will continue to improves, BYD will constantly improve and improve and enhance our report. supplement its practice of corporate social responsibility. You are welcome to express your comments and suggestions regarding this Report which Green Products This Report is prepared with reference to the and Technologies can be made via the following means: “Environmental, Social and Governance 47 Technology-Based and Charity Reporting Guide” (ESG Reporting Guide) Telephone: 86-(0)755-8988 8888 Innovation-Oriented 51 Green Products published by The Stock Exchange of Hong Email: [email protected] 55 Comprehensive Kong Limited (“Stock Exchange”) and the SME 4 Quality Assurance b o a r d i n f o r m a t i o n d i s c l o s u r e b u s i n e s s 5 memorandum No.2: regularly report and disclose related issues by the Shenzhen Stock BYD CSR REPORT 2017 M e s s a g e f r o m t

h guarantee the wonderful life of We have more than 220,000 employees, among have been gained. It has been widely praised e P people? which about 20,000 are engineers who work because of its “zero safety accident, zero delay r round the clock to explore technologies and and zero complaint”. e As a responsible corporation, how s

i solutions needed by the mankind. BYD has

d can mankind realise sustainable As a hi-tech enterprise with business spanning e found a series of sustainable solutions to

n development is always on our mind. f o u r i n d u s t r i e s i n c l u d i n g e l e c t r o n i c s , t Our dream is simple - realise pollution and traffic jam. In respect of reducing automobiles, new energy and rail transit, we s u s t a i n a b i l i t y f o r h u m a n s , t h e a i r p o l l u t i o n , w e r e c o m m e n d r e p l a c i n g constantly cater to people's wishes for a better environment and society and better traditional fuel vehicles with electric vehicles, life with smart, green and low-carbon products protect our environment. so as to reduce emission; in respect of and plans. alleviating traffic jam, we recommend BYD The sustainable business of BYD The sustainable development of BYD is in the SkyRail, which aims at reducing heavy traffic on always centers on its stakeholders interest of its shareholders, meets the needs of the ground and creating three-dimensional including customers, shareholders national economy and people's livelihood and is green traffic network, so as to resolve the and employees, and focuses on in line with the development direction of the “stubborn” traffic jam in cities. What's more, social needs, public needs and the human society. In the future, BYD will adhere to BYD has put forward various integrated new sustainable development of the its conscience, bear its original intention in energy plans in order to cater to the public mankind. We are dedicated to, mind, continue to invest and, through the needs for low-carbon life to the greatest extent. through technological innovations sustainable development of its business, a n d c o n t i n u o u s i n d u s t r i a l In the reporting period, we promoted our new promote the sustainability of the society, so as optimization and upgrade, thoroughly energy products such as new energy vehicles, to cater to people's wishes for better life. removing the dependence on fossil solar energy products and energy storage fuels in the near future, getting rid of products in more than 200 cities across over 50 countries, providing green transport solutions As the largest vehicle production and selling the troubles brought by air pollution; and services to hundreds of cities worldwide. country and with the fastest urbanisation, and ensuring that the urban citizens China is undergoing the troubles brought by are not troubled by traffic jam any In the reporting period, we have achieved Wang Chuan-fu p o p u l a r i s a t i o n o f v e h i c l e s a n d f a s t more and enjoy smart, green and low- SkyRail cooperation agreement with about 20 Chairman and President urbanisation. The overlapping of popularisation carbon life. cities from China, Singapore, Egypt, Morocco of vehicles and fast urbanisation generates air In addition to the obligation of and Cambodia, providing good approach of pollution and traffic jam. Especially, traffic jam providing returns and reward for our alleviating urban congestion. For example, the has become the stubbornest difficulty facing e m p l o y e e s , s h a r e h o l d e r s a n d China Flower Expo Park section of Yinchuan the cities. It has long been left unresolved, and customers, BYD sincerely wishes to SkyRail was officially put into commercial tends to become more severe. How can the repay the society by catering to operation on 1 September, 2017. It is the first urbanisation keep moving forward if the traffic people's wishes for better life through SkyRail successfully put into commercial jam has always been left unresolved? How to technological innovations. operation in the world, and remarkable results

01 02 7 1 0 T 2 R O P E R

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Sustainable CSR Management BYD CSR REPORT 2017 S u s t a i n a b l e C Core Values Corporate Governance S

R M In the reporting period, we changed our and vitality of the Company. Moreover, we BYD constantly improves its corporate d i r e c t i o n a n d i n v e s t m e n t p l a n s ;

a core values from “Equality, Factuality, will continue to pass on the virtue of governance structure, seek to establish a supervises and guides the management n a Passion, Innovation” into “Excellence, pragmatism. We are passionate about our scientific and sound modern corporate to further improve rules, regulations and g e m Pragmatism, Passion, Innovation”. We are business, and pursue excellence, create organization and increase the satisfaction s y s t e m s , i m p r o v e d e c i s i o n - m a k i n g e n dedicated to creating vigorous competition brand value for customers and the society of its stakeholders. m e c h a n i s m , r e g u l a t e w o r k i n g t culture and foster the atmosphere of and create a better life for mankind with BYD's Board of Directors (the “Board”) procedures, ensure the strictness of striving for improvement, so as to improve passion. We insist on innovation, always convenes general meetings regularly and approval procedures, establish and the Company's competitiveness and forge ahead with dreams and seek to make reports its recent work; implements the c o m p l e t e a m o d e r n a n d s t a n d a r d guarantee the long-term prosperity, activity our dreams come true. resolutions of the general meetings; organizational structure and enhance the supervises the overall operation and efficiency and quality of investment s t r a t e g i c d e v e l o p m e n t , a n d m a k e s decisions. Excellence Pragmatism decision on the Company's operation

Organizational Chart of BYD Company Limited

General meeting Audit Passion Innovation Audit Committee Supervisory Department Committee

Remuneration Committee

Mission Board of Directors In the reporting period, BYD upgraded its chairman and president, often says, “What Nomination Committee mission: technological innovations for a we are doing now is no longer basic capital better life. accumulation or enterprise expansion, but f o r s o c i a l v a l u e a n d c o r p o r a t e As an enterprise with a strong sense of Secretary to responsibility. We need to figure out how to Strategy the Board social responsibility and mission, BYD Committee insists on developing itself while resolving improve our living environment, change social problems, and has always centered people's life style and cater to people's President on social needs, public needs and w i s h e s f o r a b e t t e r l i f e t h r o u g h Office of sustainable development of the mankind technological innovations. We've always the Board during industrial layout and corporate been making efforts in this aspect.” cooperation. Wang Chuan-fu, BYD's Vice President President Office

05 06 BYD CSR REPORT 2017 S u s t a i n a b l e C Decision-Making Mechanism S

R M The Company's major decisions are to be the same time, the president also bear the environment has become the mission and used to open a new journey and create a

a considered and decided collectively and to o v e r a l l p l a n o f B Y D ' s n e w p r o j e c t responsibility of all enterprises. In view of new future in the process of resolving n a

g be reviewed and considered by leading development and future development to the new situation and mission, we hope social issues and creating a better life. e m teams and specific committees. For grasp the overall situation. that BYD's technology and products will be e n proposals relating to major issues, units t BYD has established a rigorous decision- involved shall participate in the Company's making mechanism. Self-evaluation of the CSR Management discussion of the relevant issue and be design and effectiveness of its internal responsible for their implementation. control is also carried out regularly. The The CSR Management Committee of BYD management representatives with defined BYD's top manager is the president, scope of evaluation has been expanded is responsible for formulating the CSR responsibility to ensure compliance of responsible for planning the direction of and fully covers the Company's production, management measures and working plan BYD's operation and product related BYD, setting development goals and operation and management. The goal of a n d t h e u n i f i e d o r g a n i z a t i o n a n d s y s t e m s w i t h a p p l i c a b l e l a w s a n d monitoring the implementation. BYD's internal control is effectively achieved and management of BYD's CSR work. With its regulations and the needs of its customers, m a j o r d e c i s i o n s , o r g a n i z a t i o n a l there is no material defect in the decision- commitment to compliance and constant and to identify and mitigate operation risks. restructuring, important documents are making mechanism. improvement, BYD highlights its attitude BYD's CSR management is becoming reviewed and approved by the president; at t o w a r d s s o c i a l a n d e n v i r o n m e n t a l more scientific and regulated. r e s p o n s i b i l i t y. W e h a v e i n p l a c e

1.2 Corporate Social Responsibility (“CSR”) Under these criteria, BYD undertakes, identifies, tests, Strategy Law and customer understands and implements applicable international laws, needs regulations, standards, conventions, best commercial practice and customers' needs. BYD is committed to operating in a responsible way, actively performs social responsibility and contributes to the sustainability of the world. Through such measures as strengthening responsibility management and innovating responsibility practices, BYD actively promotes the social responsibility to truly integrate into its daily production and operation. BYD's core obligation is to pursue and realize the Company's value through its innovation and business. BYD acknowledges that tis commercial activities would have Stakeholder direct or indirect effect on the place where it operates. relations Therefore, in its business practice, BYD requires its CSR Vision commercial decisions to take into account of stakeholders' interest, including shareholders, customers, employees, BYD is dedicated to the harmonious and sound commercial operation, seeking to suppliers, partners and related organizations. sustainable development of itself and the e a r n t h e t r u s t a n d r e s p e c t o f a l l society. It strives to enhance the interest of stakeholders. government, shareholders, customers, As the world is increasingly concerned BYD actively invests in developing procedures to identify employees, suppliers, partners and other its operation risks in respect of environment, health, safety about the sustainability of the environment Examination and and labour. In order to ensure the relative prominence of s t a k e h o l d e r s t h r o u g h i n n o v a t i v e and society, procuring the harmonious management of each risk, BYD adopts appropriate procedures and physical technology, products and management and development of the economy, society and risks control to ensure that the control of identified risks is in compliance with requirements.

07 08 BYD CSR REPORT 2017 S u s t a i n a b l e C

S BYD sticks to the concept of “customers come first”. It

R M BYD has established staff feedback and whistleblowing Employee feedback procedures. Employees may report or lodge complaints on r e q u i r e s a l l o p e r a t i o n s , i n c l u d i n g r e s e a r c h a n d and participation Safety of products a any irregular act or behaviours. development, design, production, sales and after sales n and services

a services, to reach or exceed legal standards to ensure the g quality of its products and services. e m e n t BYD conducts self-evaluation regularly to ensure Review and compliance with laws, regulations, standards and contact evaluation with customers in relation to social and environmental BYD establishes close relationship with the community, responsibility requirements. customers, shareholders and relevant parties in the local community. Seeing itself as “a member of the society”, BYD Community operates its business in an open and fair manner with engagement proactive public relations and activities and investor relations. BYD aims to become a company trusted by the BYD requires all its commercial activities to comply with the international community. highest standard of integrity. Any and all forms of Commercial corruption, extortion or fraud are strictly prohibited. Any integrity party violating such requirements is subject to immediate termination of employment and litigation.

1.3 Social Responsibility Communication BYD strictly forbids the provision or acceptance of bribes, gifts, entertainments or other practice intended to or may No bribery affect the Company's business decision to gain abnormal inappropriate advantage. External Communication

Since 2010, BYD has issued its Social i t s p e r f o r m a n c e i n e c o n o m i c ,

BYD is obliged to disclose information relating to its R e s p o n s i b i l i t y R e p o r t f o r s e v e n environmental and social responsibility business activities, organizational structure, financial consecutive years, extensively disclosing and contribution to industrial development. position and performance in accordance with applicable Disclosures laws, regulations or common industrial practice. The control procedures for BYD's disclosures can secure the Internal Communication information disclosed is timely, complete, fair and accurate we established a CSR work communication and can be understood. D u r i n g 2 0 1 7 , w e d i s c u s s e d t h e group to exchange opinions and discuss i m p l e m e n t a t i o n s t a t e o f s o c i a l the execution, promotion and development responsibility many times and improved of CSR work with the CSR representatives In addition to protecting its own intellectual properties, our CSR management system based on BYD's system of recognizing intellectual properties also of the divisions. Intellectual the results of the discussion. In addition, respect the intellectual properties of other parties. Any properties transfer of technology and expertise shall be made in such a manner that the intellectual properties are protected.

09 10 BYD CSR REPORT 2017 S u s t a i n a b l e C 1.4 Stakeholder Engagement S R M BYD proactively and closely cooperates with its stakeholders and listens to their demand

a 利益相关方 沟通方式和活动

n carefully, which are important input for improving our management. We conduct various a g stakeholder engagement activities, including organizing meetings, participating or e m organizing activities, questionnaire surveys and academic seminars and participating Government's policy communication meetings e n Providing input for ordinary work and discussion t working groups. of the government Government and intergovernmental meetings Participation in government projects Government Stakeholders Channels/Means of Communication Inviting visit and inspection

Online promotion Offline trade fairs and promotions Participation in the setting of electric automobile industrial standards WeChat/Weibo Attend general meetings New products launching event Industrial information exchanges and sharing Market investigation and survey Industry/standard Give suggestion and advice on industrial plans Customer satisfaction survey associations Establish school-enterprise cooperation Customers and Customer meeting consumers Technical training Mobile app “迪粉汇” Participation in community projects Attend non-governmental organization meetings, invite non-governmental organizations to attend General Manager Day meetings General Manager's mail box Discuss specific issues of common interest Factory director's reception day Non-governmental organizations and Reply information requirements Labour union activities communities Charity activities Employees Inspection of complaints mailbox

Individual meetings and interviews Shareholders' general meeting Special activities targeting key market media and Results announcement conference opinion leaders Investors' forum Invite media and key opinion leaders to attend meetingsheld by BYD Major reverse roadshow Media Regular disclosures Strengthen interaction through social media Investors Daily mail and telephone communications

Joint research and technical cooperation Field investigation and survey Organize seminars Quality communication Research institutions/ Participate in various activities Suppliers meeting and review academics Supplier contact and questionnaire Suppliers Supplier training Suppliers' conference

11 12 BYD CSR REPORT 2017 S u s t a i n a b l e C Evaluation of Substantive Issues S

R M Managing substantive issues would help production and issues of stakeholders' promote development of standards and standard of the industry's sustainability.

a us identify areas that need improvement concern. Through investigating various join hands with its peers to enhance the n a and facilitate enhancement of our CSR stakeholders and making consolidated g e m management standard. Firstly, we identify e v a l u a t i o n b y i n t e r n a l e x p e r t s , w e e n and define substantive issues, including determined the CSR substantive issues by t Global New Partnership on Air Quality and Electric Mobility issues affecting business operation and BYD. with the UNEP

School-Enterprise Cooperation On 12 September, 2017, the UNEP and provide intellectual and technical support BYD signed a cooperative agreement in for electric mobility; and jointly carry out BYD pursues cooperation and win-win n e w e n e r g y v e h i c l e m a i n t e n a n c e Beijing aiming at influencing the worldwide the national-level electric mobility project r e s u l t s , a n d t h r o u g h c o o p e r a t i v e engineers issued by the Occupational Skill electric mobility process, i.e., the Global in the pilot countries of the UNEP.

innovation, expanding the value of the Testing Center of the Ministry of Human New Partnership on Air Quality and Electric 2. To promote South-South cooperation: To industry and forming a healthy and benign Resources and Social Security of the Mobility. promote electric mobility in emerging industrial ecosystem. People's Republic of China) and combine The two sides will jointly promote the e c o n o m i e s t h r o u g h S o u t h - S o u t h I n 2 0 1 7 , B Y D a n d C N O O C j o i n t l y them with the sophisticated BYD teaching electric mobility to help cities manage air cooperation. resources (including equipment, materials, established an "Outstanding and Sincere pollution and promote global sustainable 3. Global cooperation and expansion: To curriculum, experts, etc.), carry out Personnel Cultivation Project of BYD New development. The two sides will promote direct the global market to electric mobility. Energy Vehicles". The project relies on the training, and solve student internship and the implementation of the package plan 4. To develop renewable energy and expert resources of the Automobile Repair employment. through regular dialogues and meetings: sustainable energy: To promote the global Professional Board of the National Through this project, BYD hopes to help 1. To promote the cooperation of electric shift from fossil fuel to renewable and P r o f e s s i o n a l S k i l l A p p r a i s a l E x p e r t partner universities and colleges establish mobility at the global and national levels: sustainable energy jointly. C o m m i t t e e t o i n t r o d u c e a d v a n c e d a t e c h n o l o g y - l e a d i n g n e w e n e r g y To integrate international resources and technologies of BYD new energy vehicles automotive specialty, improve the teaching into schools through the cooperation level of Chinese vocational colleges in the p r o j e c t s b e t w e e n u n i v e r s i t i e s a n d field of new energy vehicles, train more enterprises, develop new energy vehicle highly skilled personnel suitable for the technology courses, build a training lab for needs of the new energy automotive new energy vehicles, help schools promote industry, eventually promoting the long- dual-skill certification system (BYD post term and healthy development of the new skills demonstration with a certificate of energy automotive industry.

Participation in Sustainability Initiatives

By joining sustainability organizations and practices, exchange and share the best initiatives, BYD is able to learn the best practices with peers, explore cooperation,

13 14 Responsible Operation BYD CSR REPORT 2017 R e s p o n 2.1 Operation and Management s i b l e O Fair Operation Protection of Intellectual Properties p e r a

t BYD incorporates the performance of Furthermore, BYD constantly regulates its BYD has established the Intellectual a series of effective intellectual property i o n social responsibility into the entire process o p e r a t i o n w i t h a p e r s p e c t i v e o f Property and Legal Division to centralize s y s t e m a n d p r o c e d u r e s t o f o r m a of its business operation and daily r e s p o n s i b i l i t y a n d s u s t a i n a b l e t h e m a n a g e m e n t a n d h a n d l i n g o f collaboration of systems to protect our and management, and improves, enriches and development: compliance with laws and intellectual properties and legal matters. our clients' intellectual properties. They perfects existing management systems. It regulations, abide by business ethics, Through years of practice, we have mainly include these systems: BYD also incorporates the expectations and strict compliance with code of business established the strategy and guidelines for I n t e l l e c t u a l P r o p e r t i e s a n d L e g a l

G appeals from stakeholders in daily conduct, and uphold integrity and fair i n t e l l e c t u a l p r o p e r t i e s o f “ C o n s t a n t Management, BYD Patent Management r e e m a n a g e m e n t a n d o p e r a t i o n s . competition. accumulation, reasonable layout, effective Regulations, BYD Patent Reward and n P protection and flexible use” and put in place Penalty Management Regulations. r o d u

c Compliance with Laws t s a

n BYD is in strict compliance with laws, Employee Handbook of BYD states that all d T social norms, professional ethics, internal of its activities will fully comply with all e c rules and regulations of the Group laws, systems and regulations of the h n o throughout the world. BYD has set a countries in which it operates. The code l o g Management Committee of Laws and also requires BYD to adopt higher i e s Regulations to regularly or irregularly international standards in addition to monitor and examine the management and compliance with laws, in an effort to implementation of laws and regulations by enhance its responsibilities to the society BYD secures patents over tis four main design patents and 183 are patents in respective departments, and evaluate the and environment. BYD undertakes that it businesses, i.e., IT, automobile, new Hong Kong, Macau and Taiwan) and 2,883 C h compliance of their implementation with will get to know the views of the related energy and rail transit. The scope of patents overseas. a r i laws and regulations. The legal audit rate parties regularly so as to continue to t t e c h n o l o g y i n v o l v e s a u t o m o b i l e ,

y As of 31 December 2017, 12,258 patents of various rules and regulations, economic develop and perfect its code of conduct. electronics, chemical, electrical and were granted in China accumulatively, of contracts and important decisions of BYD B Y D a t t a c h e s g r e a t i m p o r t a n c e t o m e c h a n i c a l , m a c h i n e r y a n d which 1,227 patents were newly granted in has reached 100%. Meanwhile, BYD has employee training. It has designed various communication. We effectively protect our China during 2017; and accumulatively implemented effective internal control training courses with regard to new independent innovation achievements and 1,727 patents were granted overseas, of mechanism and timely upgraded the e m p l o y e e s a n d i m p r o v e m e n t o f avoid infringing the intellectual properties which 329 patents were newly granted Company's rules like BYD Rules on e m p l o y e e s , s o a s t o i m p r o v e t h e of others, and enhance the competitiveness overseas during 2017. Management of Legal Disputes and BYD employee's legal quality and ensure that all of our products. BYD diligently publicizes and provides Measures on Contract Management, so as the employees understand laws and abide As of 31 December 2017, BYD has t r a i n i n g o n i n t e l l e c t u a l p r o p e r t i e s , to protect the performance of economic by laws. In 2017, BYD organised more than accumulatively applied for 18,018 patents arranges site training and exchanges at contracts. 100 times of relevant trainings. in China, (of which, 8,682 are invention different levels including new recruits, on- The “BYD Code of Conduct” in the patents, 7,663 are utility patents, 1,490 are t h e - j o b a n d s e n i o r p e r s o n n e l , a n d

17 18 BYD CSR REPORT 2017 R e s p o n s enhances staff's awareness of intellectual of the Company's IPR management

i Daily Behaviour” and requires all staff BYD has established complaint channels b l e O properties through electronic means and system. In 2017, BYD held nearly 100 members to observe them. to encourage whistleblowing for moral and p internal publications to ensure the internal trainings and exchange activities legal irregularities. e In 2017, BYD strengthened its advocacy r a sufficiency, compliance and effectiveness relating to intellectual properties.

t and training on clean culture and required i o n that the relevant rules and regulations, Means of lodging complaint/ brochures and promotional materials be As of 31 December 2016 whistleblowing: sent separately to the mailbox of each [email protected] relevant employee to ensure that every 86-(0)755-8988 8888-62407 employee was familiar with the Company's G clean rules and regulations. In addition, BYDSCC r e e BYD also organized managers to visit n P BYD's Supervisory Division is the only prisons in groups, carry out warning r o Accumulatively applied for Accumulatively department authorized to investigate d education activities, and listen to the in- u 12,258 patents were granted in China c corrupt practices and reports directly t prison production and living scenes, self- s a 18,018 patents 2,883 patents 1,727 patents were granted overseas to the president of the Company

n examination, and painful lessons in d T in China overseas 2017 newly granted without any interference from any 1,227 patents in China 329 patents overseas exchange for freedom and life of the e other division staff, thus guaranteeing c

h prisoners so as to let the visitors take n the independence and objectivity of o precautions, cherish the life and work they l o reporting and investigation. g have, restrain their own behavior, be i e s careful with power, and never overstep the Moreover, all personal information of Anti-Corruption and Anti-Commercial Bribery prescribed limits. i n f o r m e r s w i l l b e k e p t s t r i c t l y confidential. BYD effectively protects BYD requires all its commercial activities BYD attaches great importance to the In the reporting period, BYD also amended the legal rights of informers and to comply with the highest standard of establishment of a clean culture and some clauses in the “BYD Staff External C

h strictly prohibits misconducts such as a integrity. Any forms of corruption, extortion adopts the principle of “zero tolerance” B u s i n e s s C o n t a c t M a n a g e m e n t r

i discrimination, deliberately creating t y or fraud are strictly prohibited. Any party towards corruption. It considers penalizing Requirements”, expanding the definition of difficulties, suppress or retaliation, violating such requirements is subject to and prevention of corruption as a key part "gifts", defined the collective irregularities directly or indirectly, to informers. immediate termination of employment and of its corporate culture, conducts integrity and acceptance of bribes by employees' litigation. BYD strictly forbids the provision and self-discipline education extensively family members on behalf of them, and I n 2 0 1 7 , B Y D r e l e a s e d t h e o r a c c e p t a n c e o f b r i b e s , g i f t s , and circulates corruption cases to raise the clearing the penalties therefore. At the "Regulations for the Protection and entertainments or other practice intended awareness of all staff members. For same time, BYD formally launched the Reward of Reporters of BYD", which to or may affect the Company's business ensuring integrity within the Company, “Anti-Corruption Filing Procedure” on OA s t a n d a r d i z e s i n f o r m a t i o n decision to gain abnormal or inappropriate BYD has formulated “BYD Staff External on 23 June 2017, requiring employees to confidentiality, scope of rewards and advantage. BYD abides by anti-bribery B u s i n e s s C o n t a c t M a n a g e m e n t keep records of gratuities, entertainment proportion of bonuses from the system laws overseas and prohibits providing or Requirements”, “BYD Code of Economic requests, affiliations and investment level. demanding any bribe to or from local Behaviour for Management Personnel” and activities within the stipulated time, and government. “BYD Rules for Evaluation of Employee hand in the gifts received.

19 20 BYD CSR REPORT 2017 R e s p o n 2.2 Caring for Employees s i b Talent Development l e O Employees are the foundation for the development of BYD and its biggest asset. The BYD advocates “human-nurturing before B Y D e n c o u r a g e s s t a f f t o d e v e l o p p e

r growth and success of BYD are impossible without the hard work of its employees. BYD goods-building” and emphasizes staff according to their ability, interest and a t i o adheres to the “people-oriented” principle in its human resources management, respects development. The quality and skills of staff preference and has created a ladder of n the rights of employees, attaches importance to talent development, encourages are enhanced through training. Their promotion for them. BYD continually employees to achieve technical innovation and strives to build an equal, fair and open professional quality and capability are also improves and implements performance working and development environment for its employees. developed through actual experience appraisal and management system to drive gained in projects and missions. the focus of management personnel at all levels on the growth and development of G BYD has established a complete training

r Equal Employment Opportunities and Localization e system and provides employees with e m p l o y e e s a n d t o i m p r o v e t h e e n P of Employees a d e q u a t e t r a i n i n g a n d p r o m o t i o n e f f e c t i v e n e s s o f p e r f o r m a n c e r o opportunity, helping their development and management, realizing development of d According to the "Labor Law", "Labor serving in various sectors. The proportion u both the employees and the corporation. c Contract Law" and other laws and of female employees remained stable, realization of personal value. We provide t s a Outstanding staff will be promoted timely regulations and the requirements of accounting for above 30% of total training for new recruits and skill trainings n

d T according to requirements and needs of ISO9001, ISO14001, OHSAS18001, Social employees, with female management and have a mentor system for fresh

e the Company. Level promotion is made c Accountability 8000 (SA8000) and other personnel accounting for 5.0%. Among the graduates. In 2017, BYD held over 160,000 h n training sessions with above 680,000 monthly, and the average proportion of

o s t a n d a r d s a n d s y s t e m s , B Y D h a s senior management of BYD, the ratio of l o training class hours, and a total of around employees promoted during the year g formulated the "BYD Human Resources female members is approximately 15.4%. i e 6,500,000 attendees. remained at approximately 40%. s Management System." BYD adheres to the BYD holds a positive stance towards principle of "employment out of opportunity recruiting foreign staff and driving the equality and capability", eradicates any localization of overseas staff. Localization discrimination in employment based on of employees not only helps us understand C h such factors as age, gender, geography, different local cultures but also increases a r

i ethnicity, customs, social hierarchy, t j o b o p p o r tu n i t i e s a n d s u p p o r t s th e y religion, physical disability, political economic development of such place. In affiliation, and prohibits child labours and 2017, in BYD's main overseas production forced labours. bases located in the U.S., Brazil and As of 31 December, 2017, BYD has over Hungary, the localization ratio of its 220,000 employees around the world, overseas employees reached 96%.

5.0% 15.4% 30%

Ratio of female employees Ratio of female management Ratio of female members among all employees personnel among all employees among the senior management 21 22 BYD CSR REPORT 2017 R e s p o

n Salary, Benefit and Staff Protection s i b l e O BYD always observes the requirements of issues was zero. In addition, BYD BYD cares for and is committed to solving the basic living issues of its employees. Efforts

p Labour Law and other relevant laws and employees enjoy annual leave, maternity have been made on housing, transportation, children education, medical, etc.: e r

a regulations. We adhere to the “people- leave and other welfare leave according to t i o o r i e n t e d ” p r i n c i p l e , p r a c t i c e e q u a l law. n employment opportunities and prohibit any B Y D h a s a c o m p l e t e r e m u n e r a t i o n Staff canteens are provided in the production career discrimination. BYD encourages management system. An employee's bases, ensuring the nutrition of employees. employees to give full play to their bonus is aligned with the Company's Catering personal value. At the same time, the business condition, performance of the

G Company uses both material and non- unit he belongs to and his individual Staff quarter is built in the production bases. In r e material incentive to motivate and heighten e performance. To maximize the protection addition, commencing in 2000, BYD has built n P employees' sense of happiness and of employees' interest and benefit, the welfare housing for employees in Kuichong of r o belonging. d remuneration system is reviewed and Shenzhen, Daya Bay of Huizhou and Pingshan of u c BYD fully implements the labour contract modified annually. In addition, BYD offers

t Shenzhen, which are priced much lower than s a system and normalizes it by law. In 2017, various awards covering the corporate Housing m a r ke t p r i c e s a n d of f e r e d t o q u a l i f i e d n d T BYD continued to maintain 100% labour level to the production unit level, which employees for their purchase. e c contract signing rate. include President's Award, being the top h n o BYD strictly observes the laws and award, the Sustaining Progress Award, For the convenience of its employees, BYD provides l o g regulations on working hours, holidays, Patent Award, Technical Innovation Award, pick up buses of different routes to ferry staff to and i e s etc. where it operates. In the reporting etc. Since 2014, the Company has granted from work. We also offer zero down payment these awards to outstanding targets period, the number of labour disputes Zero privilege for staff to buy their own cars with Down involving work overtime and other related selected from hundreds of projects Payment allowances provided depending on the model. annually. Furthermore, charging parking lot is provided to staff C h Transportation who has purchased new energy vehicles and allow a r i

t them to charge their cars at the Company for free. y

BYD has established a comprehensive protection system for employees and constantly improves it. In addition to making social insurance contributions for its employees according to legal requirements, a BYD medical fund is also created to provide dual medical protection for employees. In 2017, the fund paid secondary Medical medical claims for nearly 3,000 employees for a total of over RMB10.08 million, and provided medical relief amounting approximately RMB3.7 million for 26 employees with serious disease.

23 24 BYD CSR REPORT 2017 R e s p o n Drug-Control Knowledge Publicity s i b

l BYD and the Shenzhen Middle School have e O In 2017, BYD held a large-scale anti-drug jointly set up the Shenzhen Yadi School, p publicity campaign by setting up anti-drug e

r Cooperation relationship is also established a publicity boards, distributing publicity t i

o with schools in the neighborhood of the m a t e r i a l s a n d w a t c h i n g a n t i - d r u g n Children education production bases to resolve school admission promotional videos to make everybody issues of employees' children. know the drugs first, understand the dangers of drugs, educate the staff to Special maternity protection is also provided for employees, such as pregnant cherish their lives and resist the temptation mother's room and lactation leave, and not requiring pregnant and breast-feeding G of drugs. r e staff to work overtime or night shift. e n P

r Caring for Spiritual Health of Employees o d u Commuting Traffic Improvement c B Y D h a s s e t u p a m u l t i - c h a n n e l communication and psychological crisis t s a In 2017, in order to maintain the traffic of the industrial park to facilitate the communication system to enhance the intervention, and help employees to learn n d T order in the production base and prevent employees to walk on rainy days and employees' emotion management ability. the basic method and skill of improving e Trainings are provided to reinforce their psychological quality and maintaining c traffic accidents in the base, BYD arranged standardize the diversion of people and h n for security on duty during rush hours and vehicles. At the same time, the middle employees' work-related psychological psychological health. BYD also holds o l o guided pedestrians and vehicles to pass fence was installed on the trunk roads health, pressure management, response to satisfaction survey and informal forum g i e setbacks, positive emotion, job burnout regularly for employees to air their views

s according to the regulations, ensuring where a large number of employees and smooth traffic in the park and the personal vehicles are going and coming to divert the and work and life balance, the skill of freely. safety of employees. traffic flow. A pedestrian bridge was set consultative manager and inter-personnel

In 2017, BYD gradually built or renovated between the living area and the factory C area to avoid traffic accidents. h the canopy channel on the main trunk road a Internal Associations r i t y In order to enrich employees' life, the C o m p a n y h a s s e t u p n o n - p r o f i t associations such as BYD Journalists A s s o c i a t i o n , B Y D P h o t o g r a p h e r s A s s o c i a t i o n , Q i f e i L i t e r a t u r e C l u b , Main road fence Main road with canopy channel Calligraphy Association, Basketball Club, Football Club, Badminton Club, Ping-pong C l u b , a n d D a n c i n g C l u b . T h e s e associations hold regular activities for the members.

Pedestrian bridge between the living area and the factory area Security guard on duty in rush hours

25 26 BYD CSR REPORT 2017 R e s p o n s Company's constitutional documents, general meeting totaled 17 in number, with i

b Corporate Culture Activities l e O rules of procedure for general meeting and 1 , 2 5 2 , 6 5 0 , 0 8 3 s h a r e s , r e p r e s e n t i n g A variety of corporate culture activities can corporate culture activities such as speech p d i v i d e n d p o l i c y. T h r o u g h r e s u l t s 45.9159% of the total shares of the e

r promote corporate culture and interpret its contest, debate contest, activities for the a announcement briefing, investors survey, Company. Judging from the number of t i o in-depth meaning to the employees in an celebration of BYD's anniversary.

n daily mail and telephone enquiry, we participants in the shareholders 'general entertaining and easy-to-accept way. Such explain the Company's condition to and meeting, more minority shareholders a c t i v i t i e s e n a b l e a v i v i d a n d s o l i d answer queries of shareholders and would attended the shareholders' general visualization of the “words and symbols” e s t a b l i s h p o s i t i v e a n d i n t e r a c t i v e meeting in the reporting period and offer used to express our corporate culture, as relationship with investors. suggestions on corporate governance and well as provide moments for our employees G On 6 June, 2017, BYD convened its 2016 daily operations. r e to relax and enrich their spiritual world e annual shareholders' meeting, with 87 In 2017, BYD received 69 field research n P beyond the workplace. s h a r e h o l d e r s a n d s h a r e h o l d e r and visits of institutional investors r o In 2017, BYD held various types of d representatives in attendance, holding and including funds, securities firms, insurers, u c t representing 1,253,340,270 shares and private equity funds and QFII, held several s a

n accounting for 45.912% of its total; the first results announcement conferences and d T extraordinary general meeting of 2017 was domestic and overseas road shows, as e 2.3 Protecting Investors' Rights and Interests c

h h e l d o n 8 S e p t e m b e r, 2 0 1 7 ; t h e well as participated over 38 meetings of n o s h a r e h o l d e r s a n d s h a r e h o l d e r domestic and foreign investment banks l Safeguarding the rights and interests of investors has been a priority for BYD since its o g representatives at the first extraordinary and brokerage firms. i

e listing. BYD proactively establishes sound system and mechanism for the protection of s investors' interest. It works on maintaining a stable share price and has set plan and method of rewarding investors. All undertakings and promises are duly observed and Returns for Shareholders disclosures are made fully and timely. Communication and interaction with investors are

C promoted through various means. Investors' legitimate rights and interests have been BYD is committed to improving returns for H shares) to divide a cash dividend of h a effectively protected. shareholders and protecting the interest of RMB1.78 (tax inclusive) for every 10 r i t y minority shareholders. shares to all shareholders other than share Investor Relations Management Based on the overall operation of the capital increase from accumulation fund, Company as well as its financial condition a m o u n t i n g t o a p p r o x i m a t e l y BYD makes disclosures based on the enhances the openness and transparency and the interests of its shareholders and to RMB485,609,400. principle of truthfulness, accuracy and of the Company's operation. share the results of the Company's The implementation of the 2016 Annual completeness in accordance with relevant BYD strictly complies with requirements of b u s i n e s s d e v e l o p m e n t w i t h a l l i t s Equity Distribution Plan was completed on l a w s a n d r e g u l a t i o n s a n d i s s u e r the listing rules and stock markets and shareholders, the Company's 2016 Annual 4 August, 2017. information disclosure requirements of the protects legitimate rights and interests of Equity Distribution Plan was approved at Shenzhen Stock Exchange and The Stock minority shareholders. In accordance with the 2016 annual general meeting held on 6 E x c h a n g e o f H o n g K o n g L i m i t e d . the requirements of protecting the equal June, 2017: based on the total equity Disclosures are timely and accurately interest of shareholders under the listing n a m e l y 2 , 7 2 8 , 1 4 2 , 8 5 5 ( i n c l u d i n g made to shareholders and investors, which r u l e s , w e c o n s t a n t l y i m p r o v e t h e 1,813,142,855 A shares and 915,000,000

27 28 BYD CSR REPORT 2017 R e s p o n 2 4 Protecting Customers' Rights and Interests

s .

i i n t e g r a t e p r o d u c t i o n , t e c h n i c a l a n d assist customers. b l e O customer service teams to join hands with A sound system is established to protect applicable laws and regulations in relation BYD persistently handles customers' p research and development and quality e c u s t o m e r s ' i n t e r e s t t o e n s u r e t h a t to matters such as advertising, labelling complaints rapidly and effectively to r a teams to build a professional service t ensure constant improvement of service i customers' interest will not be jeopardized. and privacy which have a significant o

n support team to provide all-round service As a result, we believe that the Company is impact in the countries where we operate. quality. It has in place measures for the for our customers. in compliance in all material aspects with management of customers' complaints BYD adheres to the goal of achieving such as “Mechanism for Sales Complaint customer satisfaction and is creative Management”, “Procedures for Accepting Protecting Customers' Right to Know towards the items and content of services Customer Complaints”, “BYD Customer G so as to enhance service quality. For S e r v i c e a n d C o m m u n i c a t i o n r e

e We truthfully illustrate BYD's technical language version of the User Manual and example, in terms of automobile, in Management”, “BYD Auto Sales Company n P capability and functions and features of its product certification information to ensure addition to providing competitive warranty L i m i t e d C o n t r o l P r o c e d u r e s f o r r o

d products to our customers through t h a t t h e c u s t o m e r u n d e r s t a n d t h e services, BYD also provides 7 TSCI Rectification Measures”, as well as u c technical guidance documents, product functions, features, operating instructions t services throughout the product's life cycle customer complain channels such as s a manuals and knowledge animations. and interest protection information related n such as BYD cloud services, BYD Dream service hotlines, satisfaction survey, d T to the product. BYD provides User Manual and product Theatre, service surprises, “after sale six official forums and official service emails. e c certification information to its customers BYD invites customers to visit, inspect and

h pieces of covers”, temporary replacing car, Complaints received will be followed up n o when delivering the product. study its factory to allow customers to fully rescue services and 3DC return visit. timely and until the issue is resolved. BYD l o g understand the production process and Regarding photovoltaic products, BYD also regularly analyses common and key i Based on the language environment of the e s customer, BYD will provide, for overseas quality control procedures. developed various photovoltaic product customer complaints, tracks and verifies customers, the English version or local installation methods in accordance with whether problems are rectified, and c u s t o m e r s ' n e e d s a n d p r o v i d e s f o r m u l a t e s c o r r e s p o n d i n g p l a n s f o r customized installation illustrations to continual improvement. C Protection of Customers' Privacy h a r i t y All staff members are required to sign the B Y D h a s e s t a b l i s h e d a c u s t o m e r Customer Satisfaction Management Confidentiality Agreement upon joining relationship management system and uses A s o u n d c u s t o m e r s a t i s f a c t i o n Customers' major demands are also used BYD in relation to the strict protection of such platform as the carrier for customer management system is established, which as key appraisal items to ensure fulfilling customers' privacy. BYD also signs NDA management. Strict management authority mainly uses telephone interview to customers' demand and enhancing their agreement with its clients in its business is set for the access and systematic investigate feedbacks from customers satisfaction. activities to ensure the security of management of customer information files. across the product cycle on factors such as information of both parties. service attitude, flow, quality, delivery time and pricing. By analyzing the feedback Protecting Customers' Right of Receiving Services information, BYD understands issues causing customer dissatisfaction and The customer service philosophy of BYD is heart”. Taking into account the customer's customers' major demands. Improvement “excellence from diligence, sincerity in our category and product life cycle, we is then made on such weaknesses.

29 30 BYD CSR REPORT 2017 R e s p o n 2.5 Supply Chain Management s system, comply with the provisions related B Y D ' s " S u p p l i e r C o r p o r a t e S o c i a l i b l e O t o l a b o u r a n d h u m a n r i g h t s a n d Responsibility Agreement" and "Toxic and BYD persistently practice responsible, transparent and green procurement, and proactively

p environmental protection stipulated in the Hazardous Substances Agreement". e performs social responsibility and pursues sustainability in the course of procurement. We r a t

i seek to form a closed cycle for the suppliers' life cycle management and create an efficient, o n collaborative, win-win supply chain platform. Evaluation and Survey of Suppliers' Social Responsibility BYD has formulated a series of suppliers management systems, such as the “BYD Supplier R e g u l a r e v a l u a t i o n a n d s u r v e y o f BYD will make a list of suppliers for survey, Requirements”, "BYD Supplier Audit Management Regulations" and “BYD Management suppliers' social responsibility will be which are selected from qualified suppliers and Operation Rules on Suppliers' Corporate Social Responsibility”, to specify the carried out by BYD. According to the based on the characteristics of materials requirements on the social responsibility of the supply chain partners through various G reviewing terms concerning corporate such as high energy consumption or high r e aspects, including labour standards, occupational health and safety, environmental e social responsibility set out in the “BYD pollution materials including PCB, FPC, n P management, trade security, anti-corruption and anti-commercial bribery, so as to inform all Supplier Review Table”, BYD conducts the and connectors. Survey will then be made r o our existing and potential suppliers about BYD's requirements on them and establish the d on-site review on suppliers to examine on the listed suppliers and the “Annual u basis for the certification and operation risk analysis of suppliers, as well as the basis for c whether they comply with BYD's social E n v i r o n m e n t a l a n d H u m a n i t i e s K e y t s a constant improvement and development of suppliers. BYD spelled out detailed standards responsibility policies and requirements. If Performance Indicators Report” shall be n

d T and requirements for the suppliers in respect of quality management, environmental the review fails, BYD will provide suppliers completed, so as to promote constant e management, occupational health and safety, corporate social responsibility, intellectual c with interview, tutoring and training to i m p r o v e m e n t i n e n e r g y s a v i n g a n d h

n property, material and production management, etc., and stipulated an overriding promote the continuous improvement of emission reduction of the suppliers. o l o requirement under the corporate social responsibility that no supplier will be accepted if it g suppliers. For the suppliers who cannot BYD also regularly makes enquiry on i e violates relevant CSR laws or regulations. s meet the requirements in the stipulated government websites to check if any BYD period, BYD will punish them by disqualify supplier is blacklisted by the government. Selection of New Suppliers their products supplying qualification If so, BYD will send emails to various depending on the actual situations. purchasing departments, lock the code of

C BYD will investigate and verify the and verification of the social responsibility h BYD will conduct annual review of such supplier in the purchasing system and a qualifications and illegal conducts of management of suppliers and their r i t suppliers which have active transactions. suspend the transaction with it. y suppliers when introducing new suppliers, downstream supply chains from aspects of e s t a b l i s h t h e " B Y D S u p p l i e r A u d i t h u m a n i t i e s , e n v i r o n m e n t , s a f e t y, Management Regulations" in accordance compliance with laws and regulations, Responsible Procurement

with the "BYD Supplier Requirements" and hazardous substances, trade safety, etc., Based on the development strategy and competitiveness in cost management. adopt the "BYD Supplier Review Table" to with a veto on multiple terms. environmental policy of the Company and I n 2 0 1 7 , t h e r a t i o o f r e s p o n s i b l e audit and determine whether they could BYD has been using strict environmental f o r s e c u r i n g t h e o r d e r l y s u p p l y o f procurement of BYD maintained at 100%. meet the requirements of BYD. BYD set up standards, labour practices and human production and living materials and special modules of "Corporate Social rights standards for screening, requiring services required, BYD builds win-win, Responsibility", "Safety, Information, s u p p l i e r s t o p a s s t h e I S O 1 4 0 0 1 mutual growth, equal and collaborative I n t e l l e c t u a l P r o p e r t y R i g h t s , " a n d e n v i r o n m e n t a l m a n a g e m e n t s y s t e m relationship with its suppliers to achieve "Hazardous Substance Process Control" in certification, promise to apply and promote the optimal cost resources and efficiency the audit table, to carry out on-site audit the SA8000-compliant CSR management and unceasing enhancement of BYD's core

31 32 BYD CSR REPORT 2017 R e s p o n Transparent Procurement Green Procurement s i b l e O For the supply chain management and lodging of complaints by the suppliers. In BYD always insists on green procurement performance of suppliers annually. p procurement, BYD sticks to the “sunlight t h i s w a y, s u p p l i e r s a l s o b e c o m e in the supply chain and procurement of raw e F o r t h e v i o l a t i o n s o f g r e e n a n d r a procurement” philosophy and ensures the “supervisors” of the “sunlight” procurement materials. The green procurement system t environmental protection in the suppliers' i o n s u p p l y c h a i n m a n a g e m e n t a n d of BYD. of “green suppliers and green raw p r o d u c t i o n a n d o p e r a t i o n , a n procurement process are “fair, open and B Y D h a s s p e c i a l l y e s t a b l i s h e d t h e m a t e r i a l s ” w h i c h g u i d e d b y B Y D ' s environmental protection failure report will just”. Purchasing Management Committee and Purchasing Division at headquarters, with be issued to promote the rectification and As for supply chain management, firstly we Supervisory Division under the direct branches in different regions, business improvement of them. For especially require suppliers to set clear and formal management of the president, which are divisions and factories as the main forces, serious cases, punishment will include

G business ethics and code of business responsible for internal governance of i s t o r e g u l a t e t h e e n v i r o n m e n t a l penalty and reducing purchasing volume. r e e conduct according to the industrial s u p p l y c h a i n m a n a g e m e n t a n d management and ensure that all materials For extremely severe cases, the supplier n P standards such as Electronic Industry procurement. Complaint Bulletin Boards a n d p a r t s p u r c h a s e d s a t i s f y t h e will be disqualified for products supplying. r o d Code of Conduct (EICC). We then are erected in various locations of the environmental protection requirements. In respect of raw material and parts u c t incorporate them into the review standard Company's production bases for the BYD has formulated a series of green procurement, BYD requires suppliers to s a

n f o r s u p p l i e r a p p r o v a l . We a c t i v e l y declaration of a variety of complaints procurement policies and guidelines. In use environmental friendly materials at the d T advocate, establish and maintain a methods, such as by phones, emails and respect of supplier management, BYD early sampling stage, conducts DFE e c

h supplier “sunlight” procurement system official WeChat accounts. Any act or r e l e a s e d d o c u m e n t s s u c h a s “ B Y D investigation on raw materials at the n o t h r o u g h m e a n s s u c h a s c o n v e n i n g a c t i v i t y i n v i o l a t i o n o f “ s u n l i g h t ” Supplier Requirements”, “Development, interim stage and implements monitoring l o g “supplier conference” and “supplier p r o c u r e m e n t a r e s u b j e c t t o s e v e r e Evaluation and Management Procedures and inspection on materials received at the i e s interviews”. We also treat supplier punishment once verified to ensure all- o f P r o d u c t i o n M a t e r i a l s S u p p l i e r s ” , later stage of mass production to ensure “sunlight” procurement as one of the key m e m b e r s ' s u p e r v i s i o n o f s u p p l i e r “Operation Rules for Development and the actual implementation of BYD's “green factors in the appraisal of suppliers and management and procurement and the Acceptance of Production Materials procurement” policies.

strictly supervise the establishment of effective implementation and monitoring of S u p p l i e r s ” , " B Y D S u p p l i e r A u d i t Through front-end procurement control C h “ s u n l i g h t ” p r o c u r e m e n t s y s t e m a n d “sunlight” procurement. Management Regulations", and “Material a over suppliers and raw materials, BYD r i t process of suppliers. Rules for Review of Production Materials y In addition, the Purchasing Division of BYD ensures that pollution or waste will not As for the way of procurement, BYD will regularly collect information to prepare Suppliers”, spelling out the requirements extend to the later process. A full cycle extensively uses various ways such as a supplier blacklist relating to those using and clear operation guidelines for the management is thus established to include bidding, electronic confidential quotation i m p r o p e r m e a n s o f c o m p e t i t i o n o r environmental material management of raw materials, work in progress and and price comparison. Suppliers are blacklisted by the government as a s u p p l i e r s , a n d i n t e r v e n i n g t h e finished products, achieving organic required to sign the “Sunlight Cooperation punishment for various causes. Suppliers management of suppliers' toxic and i n t e r a c t i o n b e t w e e n t h e s u p p l i e r s , Agreement”, to lay down the rights and in the blacklist are not allowed to trade with hazardous materials at the stage of customers and BYD, truly realizing green o b l i g a t i o n s o f b o t h p a r t i e s i n t h e the Company within the stipulated time supplier approval. Prior to commencing and environmental protection during the transparent cooperation in relation to limit, and they will only be re-approved cooperation, suppliers are required to sign entire production and operation activities procurement. Channels for complaints according to procedures until their the “Toxic and Hazardous Materials of BYD, and thus living up to its promise to such as telephone, email and SMS details rectifications meet the requirements. If the A g r e e m e n t ” a n d “ C o r p o r a t e S o c i a l t h e s o c i e t y a n d e n v i r o n m e n t w i t h a r e a l s o s e t o u t i n t h e “ S u n l i g h t violation is severe, BYD will never work Responsibility Agreement”. BYD will also r e m a r k a b l e g r e e n p r o c u r e m e n t Cooperation Agreement” to facilitate the with them. carry out a just and objective assessment performance. o n t h e e n v i r o n m e n t a l p r o t e c t i o n

33 34 BYD CSR REPORT 2017 R e s p o n Promoting Suppliers' Performance of Responsibility s i b l e O In order to promote suppliers' performance In the beginning of every year, BYD will expressly stipulated in the “BYD Supplier right shift or dangerous operation. For

p o f s o c i a l r e s p o n s i b i l i t y, B Y D h a s f o r m u l a t e a n a n n u a l s u p p l i e r Requirements” that suppliers should female employees, suppliers should put in e r a f o r m u l a t e d t h e “ B Y D S u p p l i e r e n v i r o n m e n t a l a n d h u m a n i t i e s ensure no child labour is used in any stage place procedures for the protection of the t i o

n R e q u i r e m e n t s ” , t o s p e c i f y t h e performance appraisal plan. Pursuant to of the operation process. Suppliers should legitimate rights and interest of women, requirements on the social responsibility of such plan, suppliers will be required to a l s o f o r m u l a t e p r o c e d u r e s f o r t h e provide equal pay for equal work among the supply chain partners through various provide the Annual Environmental and protection of minor labour and adopt male and female employees, and provide aspects, including labor standards, Humanities Key Performance Indicators effective measures for their protection, statutory holidays and leaves for female o c c u p a t i o n a l h e a l t h a n d s a f e t y , Report for the previous year. Investigation including identifying minor labour, regular employees such as maternity leave and

G environmental management and trade will be carried out by respects of energy body check, restriction of overtime work, Women's Day. r e

e security, and require the suppliers to carry consumption, “three wastes” emission, n P o u t c o r r e s p o n d i n g m a n a g e m e n t o n e m p l o y e e s ' b e n e f i t s , b o d y c h e c k , r Managing Conflict Minerals o

d themselves, and meanwhile convey and employees' satisfaction, and spot test will u c p r o m o t e t h e m a n a g e m e n t t o t h e be conducted on the each assessing data BYD will investigate the conflict minerals completed the EICC-GeSI Conflict Minerals t s a downstream supply chain. In 2017, as for of the suppliers' reports, to ensure the when it conducts industry qualification R e p o r t i n g Te m p l a t e , a n d s i g n t h e n d T the newly expanded rail transit industry, authenticity and effectiveness of all the surveys and certification during the undertaking of not using conflict minerals. e

c BYD added new terms and conditions for data. Meanwhile, BYD requires suppliers development and introduction/input phases BYD supports the Conflict Free Smelter h n related industries into the BYD Supplier t o f o r m u l a t e t h e i r t a r g e t s a n d of the suppliers. Suppliers who use the (CFS) Initiative and other programs to o l o conflict minerals will not be input. When ensure the sourcing of materials from g Requirements. c o u n t e r m e a s u r e s r e g a r d i n g e n e r g y i e s B Y D d e m a n d s t h a t t h e “ S u p p l i e r ' s conservation and emission reduction as s i g n i n g t h e " C S R A g r e e m e n t " w i t h responsible and sustainable sources. BYD C o r p o r a t e S o c i a l R e s p o n s i b i l i t y well as employees' satisfaction for the next suppliers, BYD clearly demands that will reassess a supplier if its supply chain is Agreement” should be signed with its year, so as to promote the constant conflict minerals shall not be used and found to include metals from the conflict suppliers to guide and supervise its improvement in social responsibility requests the suppliers to pass the areas. C management of suppliers. management of conflict minerals to h suppliers in order to serve the society and In addition, BYD has long released the "BYD a r downstream suppliers. BYD checks the i

t actively assume social responsibilities. In BYD regularly identifies and confirms Statement on Conflict Minerals Policy" at its y the Agreement, BYD requires suppliers to suppliers' environmental compliance, source of metals of its suppliers annually for official website to disclose and report the commit themselves to applying and identifies suppliers exposed to high-risk in guaranteeing their compliance with the conditions and sources of tin, tantalum, gold promoting a SA8000-compliant CSR environmental protection, and requires the OECD Due Diligence Guideline for and tungsten used in the products as management system, and guides and suppliers to provide emission permits. Responsible Supply Chains of Minerals required by the Dodd-Frank Protection Act. from Conflict-Affected and High-Risk Areas. urges them to comply with social ethics During the annual routine audit, BYD In 2017, BYD surveyed the suppliers' BYD requires every supplier to certify that and national laws and regulations, respect performs spot checks on its sewage conflict minerals, and the results showing they understand and support the EICC- basic human rights, well treat employees, d i s c h a r g e s a n d i n c r e a s e t h e a u d i t that no conflict minerals were used in the GeSI actions, and will not deliberately protect the environment, do not use frequency of high-risk enterprises. supply chain. BYD will re-evaluate its purchase conflict minerals from the c o n f l i c t m i n e r a l s , a n d e n s u r e t h e BYD attaches great importance to the relationship with the suppliers if it finds out Democratic Republic of the Congo or occupational health and safety of the protection of the rights and interest of child that the supply chains of its suppliers surrounding countries. Suppliers are also employees. and minor labour and women. It is include metals from conflict areas. required to provide evidence that they have

35 36 BYD CSR REPORT 2017 R e s p o n 2.6 Safety Production Management s i b Occupational Health l e O BYD has specially established workshops employees and the risk of occupational p

e Culture of Safety Production r lounges for employees, which provide hot hazards and production. In the reporting a t i o Protecting the health and safety of board appraisal. and cold drinks and washing basin; period, BYD also completed the automatic n employees all the times is a core value in BYD promotes the establishment of safety warming signs are also installed. In the transformation of the welding plant and the safety production of BYD. BYD culture in working teams and creates an working sites, we provide effective used safety devices such as acousto-optic i m p l e m e n t s t h e O H S A S 1 8 0 0 1 atmosphere to encourage participation in personal protective gears (PPE) for alarm, safety interlocking, safety grating O c c u p a t i o n a l H e a l t h a n d S a f e t y safety production management by all employees. BYD maintains complete and visual induction to avoid direct contact Management system, establishes safety occupational health monitoring files and with employees, improving safe production G members of working teams, with the aim of r e standards, and seriously fulfills the safety long-term penetration and cultivating of organizes employees to have occupational e n v i r o n m e n t a n d a c h i e v i n g t o t a l l y e n P production accountability system. safety concept and awareness in the health checks prior to taking up, during and enclosed management. In addition, BYD r o BYD arranges various types of safety employees to change their unsafe habits, upon leaving a post. has also mitigated the noise of the d u c p r o d u c t i o n t r a i n i n g , a n d n u r t u r e s facilitate their voluntary safety compliance In 2017, BYD basically completed the stamping factory, effectively lowered the t s a employees' rule-observing operation and and forming the habit of not only aware of waterborne renovation of its original 2000T single-wire noise, improved the n d T safe operation practice of prior awareness their own safety but also helping others to coating production line and built an safety of the operating environment and e of danger. For new employees, a “three- observe safety rules. realized automatic production and artificial c automated production line. This has h n tier” safety production education at the greatly improved the working environment and physical security isolation. o BYD regulates and reinforces supervision, l o levels of Company, workshops and groups g protection and management of high risk and reduced the labour intensity of its i e will be carried out, and annual safety s operation such as those involving special production reeducation will be held for the equipment, dangerous chemicals, hot work serving staff. Major responsible persons and working at height and in confined and safety production managers are space. It also conducts regular and

C required to hold qualification certificate for h c o m p r e h e n s i v e s a f e t y h a z a r d a

r work. BYD organized and completed full- i identification, prevention and rectification. t y time safety management training for key In addition, dedicated teams are formed to Welding factory automatic line transformation Stamping factory noise mitigation responsible staff such as factory directors develop equipment such as robotic and production managers. Taking the stamping, welding arms and spraying opportunities of the national safety robots to improve inherently safety and Emergency Handling production month and fire prevention reduce the rate of accidents. month, BYD also holds various safety Be prepared and vigilant. BYD has Each production base has a dedicated fire promotion activities, such as organizing formulated the "General Management emergency team equipped with emergency employees at every production base to Measures for Emergency Response to facilities and a mini fire station. Emergency watch safety production related films and M a j o r S a f e t y a n d E n v i r o n m e n t a l plan for accidents in production is made evening parties, and hosting safety Accidents" and has established a relatively and emergency drills are arranged consultation day, knowledge contest, complete emergency control system from covering all areas of the factories in the workshop safety quiz and safety notice harm prevention to emergency rescue. factories in respect of fire, chemical

37 38 BYD CSR REPORT 2017 R e s p o n BYD's Energy Consumption in 2017 s leakage control, confine space poisoning techniques and safety knowledge for i b l e O and suffocation to enable employees to be emergency self-rescue and accident Energy Unit of measurement Energy consumption

p familiar with their working environment and prevention and control measures. e r a escape routes and learn fire-fighting Electricity Ten thousand of kWh 332,260.4 t i o n

Ten thousand of Water 3,336.9 Natural Disaster Response cubic metres

In 2017, two typhoons attacked Shenzhen t y p h o o n a ff e c t e d r e g i o n s t o l e a v e , Ten thousand of Natural gas 7,476.9 namely the Severe Tropical Storm Merbok relocated employees in buildings near cubic metres G r e on 12 June and the Severe Typhoon Hato slopes, reinforced materials stacked e n P on 23 August. Before the arrival of the outdoor, cleared drainage and places Gasoline Ten thousand of litres 84.4 r o typhoon, BYD promptly warned and started vulnerable to water damage, prepared for d u contingency plans for natural disasters and f l o o d p r e v e n t i o n a n d r e s c u e , a n d c t s a implemented the responsibility system for strengthened security inspection. BYD did Diesel Ten thousand of litres 22.3 n d T wind protection. Meanwhile, BYD promptly not experience any accident during the

e conducted identification and prevention of typhoon periods. c h

n risky areas, arranged employees in the o Energy Management l o g i e BYD has been committed to energy-saving BYD has set up departments responsible s and emission-reduction, and carries out for energy management, supported by a 2.7 Reducing the Impacts on the Environment companywide related work. We have made professional management team. BYD sets our energy management system more annual targets of energy-saving and BYD has been a positive respondent to environmental protection. While helping reduce C effective through energy audits, internal emission reduction and incorporates the h a energy consumption through green products, we also focus on reducing the direct impacts reviews, and technology upgrades. This achievement of the targets into the r i t y of our operation on the environment. By introducing an energy management system, a l l o w e d u s t o m i n i m i z e e n e r g y appraisal of performance of departments. promoting the replacement of traditional energy with renewable energy and saving energy consumption, make the best use of energy, BYD selects outstanding energy saving through technical and management means, BYD continues to reduce its own energy a n d m e e t o u r e n e r g y m a n a g e m e n t and emission-reduction projects and consumption and carbon dioxide emissions. principles and goals. issues awards correspondingly.

In 2017, BYD further strengthened the implementation of energy-saving and emission- From the headquarters to every division, reduction targets, conducted technological transformation and equipment upgrades, and enhanced the research and development of green and environment-friendly products. BYD focuses on improving the environmental awareness of employees. It promotes Greenhouse Gas Management environmental knowledge to employees through means such as trainings, meetings and publicity boards. BYD also actively takes part in various types of activities organized by the B Y D r e g a r d s g r e e n h o u s e g a s emission-reduction measures. environmental protection authorities, carries out environmental impact assessment and is management as part of its operation and BYD has set greenhouse gas targets which subject to regular inspections by the relevant governmental departments. actively takes effective energy-saving and are continuously improving, and conducts

39 40 BYD CSR REPORT 2017 R e s p o n Water Resources Management s regular assessment. It also continues to products. It actively reduces energy i b l e O monitor and improve the greenhouse gas consumption, and continues to promote BYD attaches great importance to water improving water consumption methods.

p management performance. BYD promotes clean production to lower greenhouse gas conservation. By sticking to its rules of F o r e x a m p l e , w e c o n d u c t r e g u l a r e r a the concept of green and environmental emissions within the Company. “ Water Conservation, Total Consumption maintenance and management of water t i o protection, researches and develops n In 2017, BYD's total carbon dioxide C o n t r o l , P l a n n e d W a t e r U s e , supply network, water facilities, equipment environment-friendly technologies, and emissions were 3,258,513.62 tonnes. C o m p r e h e n s i v e U t i l i s a t i o n a n d and appliances to reduce leakage rate; d e v e l o p s a n d m a n u f a c t u r e s g r e e n Efficiency” , it has developed a water- recycle equipment cooling water and s a v i n g d e v e l o p m e n t p l a n a n d condensate water for use; recycle water Green Operation and Production strengthened water use management. We resources for use through wastewater

G determine the water quota based on the treatment stations and reclaimed water r

e BYD adheres to green manufacturing, and pure electric forklifts to replace traditional

e actual water consumption of each unit, and facilities and use treated domestic sewage n P continuously improves energy efficiency in fuel-powered forklifts in order to maximize strictly supervise its implementation. In and industrial wastewater for washing rest r

o order to reduce energy consumption and t h e p r o t e c t i o n o f t h e p r o d u c t i o n

d addition, we strive to improve water use rooms at staff quarters, industrial park u c a r b o n e m i s s i o n s d u r i n g t h e environment and ensure product quality. In c and avoid waste of water resources by greening and road cleaning. t s a manufacturing process. Leveraging its addition, in order to save electricity, BYD adjusting water consumption structure and n

d T unique advantages in the field of new covered the roofs of its production facilities

e energy, BYD applies green products with solar plates to supply electricity to the c h including electric vehicles, energy storage plant area with photovoltaic power n Packaging Materials Management o l stations, solar power stations, electric generation. It also adopted LED energy o g BYD advocates the development of materials in procurement and reduces the i

e forklifts and LED in its own production saving lamps and solar street lamps at its s circular economy, and actively explores total consumption of packaging materials activities. production facilities to maximize energy ways to improve the efficiency of resource through reducing consumption without As of 31 December, 2017, BYD has c o n s e r v a t i o n a n d a c h i e v e g r e e n utilisation. BYD gives priority to recyclable affecting quality. adopted a total of over 400 new energy production. As of 31 December, 2017, BYD

C vehicles for official travel and staff had built a total of 42.3 MW solar power h a stations at its own production facilities, BYD's Total Consumption of Packaging Materials in 2017

r transport. For workshop logistics, BYD i t y replaces traditional fuel-powered forklifts which can generate power of 40.29 million Classification of packaging materials Unit of measurement Weight with electric forklifts. As of 31 December, kWh each year. 2017, BYD utilised a total of 1,781 BYD Plastic Tonne 22,624.4

Paper Tonne 23,210.0

Metals Tonne 4,038.6

Wooden
boxes Tonne 1,807.1 LED照明 太阳能电站

电动车辆 太阳路灯 41 42 BYD CSR REPORT 2017 R e s p o n Waste Management s

i Environmental Protection Law, the Law on all of its production bases to ensure that b l e O BYD has always attached importance to for processing; recyclable waste is the Prevention and Control of Water the waste gas is discharged after meeting p waste management, and has developed recycled by the Logistics Division and the Pollution and the Law on the Prevention the required standards. Besides meeting e r a strict rules for the management of various relevant consumption departments for use, and Control of Atmospheric Pollution and the emission standards, in 2017 BYD t i o wastes and the responsibilities of the part of which is processed by professional n various regulations issued by local p u r c h a s e d a b a t c h o f e n v i r o n m e n t r e l e v a n t d e p a r t m e n t s . B Y D h a s recycling units. governments. The rain and sewage improvement equipment in order to further

consistently advocated the classification of BYD also trains new staff, cleaners and diversion is implemented for water eliminate the peculiar smell generated by waste. Toxic and hazardous waste are w a s t e m a n a g e r s o n t h e l a w s a n d consumption at BYD's various production production. Currently BYD implements the disposed of by the Safety and Environment regulations relating to solid waste, list of bases. Monitoring is regularly conducted at strictest emission standards in the country.

G Engineering Department of the Human h a z a r d o u s w a s t e , a n d s a f e t y a n d waste water outfalls of its production bases In 2017, BYD finished the rebuilding of r e Resources Division and qualified external e environment knowledge. Furthermore, in accordance with emission standards. coating production lines at Pingshan n P entities; domestic garbage and harmless BYD requires all divisions to save The monitoring results show that all the production base. After rebuilding, water r o production waste are disposed of by the d resources and encourages double-sided emission standards have been met. The paint is utilized for spraying, which has u c Logistics Division and the Safety and waste gas generated at workshops of BYD t printing and printing informal documents generated remarkable environmental s a Environment Engineering Department of using waste paper. mainly includes dust, acid mist and volatile n benefits. d T t h e H u m a n R e s o u r c e s D i v i s i o n b y organic compounds (VOCs), and waste e contacting external sanitation department c gas treatment facilities are constructed at h n o l o Information on Waste Emissions in 2017 g BYD's Total Emissions in 2017 i e Emission
volume/ s Type of waste Unit
of
measurement output
volume Type Unit of measurement Emission volume

Domestic
garbage Tonne 41,962.8 Industrial waste water Tonne 4,187,227

C Harmless
production
Tonne 182,588.3 Domestic sewage Tonne 10,891,035 h waste a r i Ten thousand of t Waste gas 4,154,794.873 y Hazardous
solid
waste Tonne 54,181.921 cubic metres COD Tonne 560.8

Ammonia nitrogen Tonne 34.2 Waste Water and Waste Gas Management VOCs Tonne 68.4 BYD pays attention to the prevention and environmental protection projects, i.e. they control of water pollution and waste gas, shall be designed, constructed and put into a n d h a s f o r m u l a t e d t h e r e l e v a n t use simultaneously with the relevant management rules and continues to production project. Its pollution prevention improve them. Its pollution prevention and and control facilities follow various policies control facilities are in compliance with the and are in compliance with national laws “ t h r e e - s i m u l t a n e o u s ” s y s t e m f o r a n d r e g u l a t i o n s i n c l u d i n g t h e

电动车辆 太阳路灯 43 44 Green Products and Technologies BYD CSR REPORT 2017 R e s p o n 3.1 Technology-Based and Innovation-Oriented s

i B Y D ' s u n i q u e “ 5 4 2 ” P e r f o r m a n c e better driving performance and safety b l e O Standard, the first in the world, has re- performance than traditional fuel-powered BYD always adheres to the “Technology-based and Innovation-oriented” development p defined automotive standards in three v e h i c l e s w i t h t h e l e a s t e n e r g y e philosophy, and firmly believes that technologies will change the life and ultimately change r a aspects including performance, safety and consumption. The technology has strong t

i the world. Currently BYD has established the Central Research Institute, the Auto o

n oil consumption. 5 means no more than 5 advantages in environmental protection, Engineering Research Institute, the Auto Intelligent Ecology Institute, the Truck Research seconds for acceleration from 0-100 km/h; cost-effectiveness and safety. Institute, the Bus and Coach Research Institute, the Auto Product Planning and New 4 means full speed electric four-wheel Technology Research Institute and others, and has a total of over 20,000 sophisticated Application: The technology has been drive; and 2 means no more than 2 litres of technical experts in hardware, software and testing, who are engaged in the research and applied in a number of vehicle models of fuel consumption for 100 km distance. development in the areas of new materials, automobile, new energy and rail transit and BYD since June 2015.

G Through the technology, users can get r actively promote the progress of the industry. e e n P BYD has always attached importance to the training of scientific and technical personnel.

r Full Speed Electric Four-Wheel Drive o Through incentive measures including title reporting, training and selection of outstanding d u c research and development projects, it has stimulated the enthusiasm for innovations of BYD's full speed electric four-wheel drive is safe, has extremely fast response, t s a technological staff and provided reserve of high-level compound talents for the can realize real-time adjustment to front steady and strong power and is energy n d T development of the Company. and rear motors and reasonable allocation efficient. e c At the same time, BYD actively cooperates with customers, industries and universities to of front and rear axle torque based on real- Application: The technology has been h n lead and participate in industry seminars, promoting the rapid development of related time road feedback. It has a response o applied in a number of vehicle models of l o industries. g speed of 20ms, one-tenth of that of BYD since June 2015. i e

s traditional mechanical four-wheel drive. It

“542” Performance Standard C h a r i t y

47 48 BYD CSR REPORT 2017 R e s p o n Insta-Pure Technology s due to insufficient power. They can be used Application: The technology has been i b l e O Frequent smog in recent years has strong high-efficiency and purification as temporary power supply for single- applied in a number of vehicle models of p affected people's physical and mental ability and can quickly reduce PM2.5 level phase/three-phase electrical appliances BYD since April 2015. e r a health. BYD integrates PM2.5 monitoring, in vehicles to lower than 35 μg/m3, so that (such as electrical appliances requiring t i o alternating current at outdoor picnics). n filtration and purification into its air people in the vehicles can regain fresh air conditioning system. It is a high frequency and bid farewell to urban pollution. and high efficiency intelligent system and Application: The technology has been can realize real-time detection and applied in a number of vehicle models of showing of air condition. It has super BYD since September 2014. G r e e n P r o d u c t s a Discharging n d T 3.3KW e c h n o l o g i e s

Bi-Directional Inverter Charging and Discharging Technology C

h 灭火器 a r BYD is the first in the world to have For example, at hours of low power i t y developed vehicles with charging and consumption, vehicles can be charged discharging functions (VTOL). With such a using the power grid, with energy saved in Hospitals Fire Control Schools technology, a vehicle is a mobile intelligent batteries; at electricity peak hours, power station, and can be charged using vehicles can supply 220V alternating the power grid during off-peak hours, with current to single-phase/three-phase grid, Starting Battery and Management System for energy saved in batteries, and supply operated like a mobile energy storage Electric Vehicles power to the power grid during peak hours, station. It can also supply power to with a maximum charging power of three- hospitals and schools and for fire-fighting The lead-acid batteries used in starting BYD's lithium iron-phosphate battery, the phase 25 KW. It can easily achieve in case of emergency. Such vehicles have traditional vehicles have low energy first of such kind in the world, can solve charging and discharging whether in a the ability to charge each other and can be density, large volume and weight, short life these problems. The technology mainly household single-phase grid or large used as emergency rescue vehicles to and contain lead, which is very harmful to has the following advanced natures: three-phase grid. charge the vehicles which cannot operate human body and environment.

49 50 BYD CSR REPORT 2017 R e s p o n s industrial chain, which greatly reduced the connection to power grid and enhancing i b l e O 1 2 cost of solar energy application, making grid security. In addition, they are safe, p the cost of solar energy application pollution-free, have long cycle life and are e r a become similar to the cost of coal power not restricted by geographical conditions. t i o Small size, light Super long life, capable of more than 3,000 times charging and n g e n e r a t i o n , a n d a c c e l e r a t e s t h e Its energy storage stations are equipped discharging, with theoretical life equivalent to that of whole vehicle, weight, easy popularization of solar power generation, w i t h “ i r o n - p h o s p h a t e b a t t e r i e s ” requiring no maintenance permanently; placement; so that clean energy can be utilized by independently developed by BYD and have ordinary people. a conversion efficacy of over 90%, 20%

For energy storage technologies, BYD's higher than traditional pumped storage

G battery energy storage stations, relying on efficiency. r

e 3 4 e a d v a n c e d i r o n - p h o s p h a t e b a t t e r y In August 2017, the 31.5MW/12.06MWh n P technology, has effectively solved the Beech Ridge FM Storage Project in West r o d Green, Built-in BMS, which can avoid damage due to overcharge worldwide problem of energy storage and Virginia, which wholly uses BYD's energy u c t environment- and over discharge of batteries; can automatically charge at has strong advantages in stabilizing the storage equipment was granted by the s a

n friendly, non- low voltage, avoid power loss, reduce the trouble of output power of wind and solar power German Cleantech Institute the award of d T toxic and switching off the main switch, and has good customer stations, increasing the percentage of 2017 Global Energy Storage “Tech Driver”. e c pollution-free. experience. h n o l o g

i Application: The technology has been applied in a number of vehicle models of BYD since e s November 2013.

C 3.2 Green Products h a r i t y To provide customers with efficient, energy-saving, environmentally-friendly products and solutions to reduce carbon emissions has been BYD's mission and relentless pursuit. BYD has always adhered to the green environmental protection requirements in the whole life cycle of its products including development, production and delivery, in the hope of In November 2017, the B-Box high- e f f i c i e n c y, a n d p r a i s e d i t a s " t o p improving environment by using its green products to change traditional energy pressure version of energy storage system innovation." consumption and bringing more energy and possibilities to urban life through pollution developed by BYD was awarded the control and traffic jam control. world's "Top Innovation Award" by the PV magazine, an authoritative international Leading Solar and Energy Storage Products new energy industry magazine. The judges t h o u g h t t h e s y s t e m h a d m a d e Through technological innovations, BYD processes and adopts new refining breakthroughs in terms of modularity, uses polysilicon developed through unique m e t h o d s a n d v e r t i c a l l y - i n t e g r a t e d charging and discharging performance and

51 52 BYD CSR REPORT 2017 R e s p o n New Energy Vehicles s global sales. The footprint of new energy i per day, which is equivalent to 800 laps b l e O New energy vehicle is BYD's “pollution vehicles, taxis, buses, coaches, logistics vehicles has also spread to more than 200 around the globe. Every day, there are p control” solution for the society. BYD's trucks, urban sanitation trucks, and cities in over 50 countries and regions. 20,000 BYD electric buses put into e r a current electric vehicle lineup comprises construction trucks. The four off-road Among them, more than 60,000 BYD operation globally, with a total mileage t i o

n seven conventional fields with vehicles vehicles are special vehicles to serve electric taxis are put into operation each reaching 4 million kilometers per day, running on-road, and four specialized ports, airports, warehousing and mining day in the world, accumulating a total equivalent to 100 laps around the earth. fields with vehicles running off-road. The operations. mileage of more than 30 million kilometers seven on-road vehicles include private The BYD SkyRail G r e

e The BYD SkyRail is BYD's “traffic jam number of vehicles on the ground, makes n P control” solution for the community. The full use of underground, ground and r o

d surge in the number of motor vehicles has overhead space to build a vertical u c brought about the problem of urban traffic transport network and alleviate the t s a congestion. In the limited urban space, the problem of urban congestion. n d T growth rate of roads always cannot keep The BYD SkyRail falls under rail transit e c up with the growth rate of vehicles. BYD

h with small and medium capacity and has n o proposed the initiative of “Building a City strong advantages compared with the l o g on the Rail”, which, by reducing the subway: i e s

1 2 3 4 5

Low investment. Fast construction. Low noise. It It occupies It has flexible

C Its cost Elevated rails can uses rubber smaller area and grouping and can h a represents only be installed wheels running its bridge meet the demand r i above existing t

y 1/5 of cost of the on the track structures are for transport greenbelt, subway beam, and has light and systems of requiring less demolition, and small noise beautiful. different impact on capacity. New energy vehicles have eliminated the tonnes and nitrogen oxide emissions by its simple construction residents along reliance on oil and significantly reduced 0.18 tonnes each year; a unit of K9 can period is only 1/3 the line. waste gas emission. Taking K9, BY's pure save fuel consumption by 41,666 litres, of the subway. electric bus, and e6, its pure electric taxi, and reduce carbon dioxide emissions by 95 as an example, compared to traditional tonnes, sulphur dioxide emissions by 1.84 Driven by electricity, the BYD SkyRail regenerative braking system, which will fuel-powered vehicles, a unit of e6 can tonnes and nitrogen oxide emissions by generates no exhaust during operation, convert kinetic energy into electrical save fuel consumption by 14,120 litres, 0.52 tonnes each year. which does not cause environment energy and store in batteries when the and reduce carbon dioxide emissions by 32 In 2017, BYD new energy passenger cars pollution and is a green transport system. train is braking. The excess energy is tonnes, sulphur dioxide emissions by 0.62 ranked first for three consecutive years in Furthermore, BYD SkyRail has an energy transferred to the conductive rail when

53 54 BYD CSR REPORT 2017 R e s p o n s consultant to promote 5S activities and set efficiency and quality levels, reduce the

i starting and accelerating, thereby saving schools, or as a tourist sightseeing line. It b l e O energy. has a strong applicability. up a 5S star evaluation model driven by i n v e n t o r y, k e e p i n n o v a t i n g a n d b e

p "comparison, help, catching up, and committed to building a world-class e The BYD SkyRail can be used as an urban On 1 September, 2017, BYD's world's first r a exceeding" to promote cost-awareness factory. t trunk line, or as a connection line between commercialized SkyRail was officially put i o among all divisions, increase production n urban centre and second centre or satellite into operation at Yinchuan Flower Expo cities, or as a connection line between Park, opening up a new mode of rail transit large-scale transport vehicles such as tourism. Benchmark subway and communities, hospitals and level

G Excellent r Based on a four-

e level e star rating, the n P layout of all areas

r and IE are o Qualified d Based on the reasonable, u three-star level, beautiful; waste c t is avoided; on-

s a the leaders attach great importance spot management

n Initial to the 5S work, and 5S are with d T management Basic 5S management and the features and e employees take highlights and

c requirements are h established; 5S the initiative in significantly

n Management effective; staff o not yet publicity and 5S. They l A cleaning are in good o formed training are in conscientiously g mechanism has abide by the spirits. i place; a cleaning e been established, s mechanism and a Company's rules but the leadership check and and are not The leadership has not paid evaluation satisfied with the fails to attach enough attention 3.3 Comprehensive Quality Assurance mechanism have behavior or enough attention to it nor been set up and phenomenon not to it, and the staff maintained the are operating at conforming to 5S. lack the sense of effect of 5S; the C 5S; no self- the same time; h Quality Culture effect is bad or

a with a certain correction and good when r

i degree of self- t self-improvement inspected, but the y BYD promotes a quality culture of “human- of each of its employees. correction and mechanism; and results of random self- 5S work is inspection is nurturing before goods-building”, i.e., the The quality culture also contains 5S, the improvement. superficial and poor, mostly to quality of persons determines the quality of foundation of management. While creating formal, only with slight over the its basic products. As a large manufacturer, BYD’s inspection. a c l e a n a n d o r d e r l y p r o d u c t i o n requirements. products are what it lives on and the quality environment, we should improve the is the soul of its products. Since its employees' self-requirement for quality, i n c e p t i o n , B Y D h a s a t t a c h e d g r e a t increase the enthusiasm and initiative of In 2017, in order to further enhance the QCC Review, Quality Speech Contest, and importance to the construction of quality employees in detail management, and train quality awareness of all the employees of Quality Banner Signature to create a good and culture, has always built high-quality staff good work habits to ensure the quality the Company, BYD held a variety of atmosphere where every one cares about, products and services with excellence and of work while improving product quality. activities such as Blackboard Publicity on focuses on, pursues, and advocates serious working attitude. The "zero defect" Quality Competition, Quality Culture Quiz, quality. In 2017, BYD hired a 5S Japanese work standard has been rooted in the heart

55 56 BYD CSR REPORT 2017 R e s p o n Training on Quality Improvement s

i results are classified into one-star, conformity evaluation of the R&D process, b l e O BYD believes that the quality awareness of and 5S for BYD senior managers and two-star, three-star (qualified), four- assessed the design and development p employees has a significant impact on the factory directors, and at the same time key s t a r ( e x c e l l e n t ) a n d f i v e - s t a r process and its quality capabilities, and e r a quality of their work, which determines the process management, inspection and (benchmark), in an ascending order. brought the design and development t i o quality of products to a large extent. BYD c o n t r o l o f n o n c o n f o r m i n g p r o d u c t s , n The rating results incorporate the process under control to improve the R&D conducts regular quality training for problem upgrading and customer service, quality assessment of its factories, are quality of new products. employees and has developed rules for effective problem solving/8D and other linked to the appraisal and promotion In addition, BYD planned and implemented q u a l i t y t r a i n i n g a n d a p p r a i s a l courses for the design process quality and demotion of its factory directors, the layered process audit (LPA) to ensure management. managers and key personnel, further promoting the development of its r e g u l a r i n s p e c t i o n s a t i t s f a c t o r y

G enhancing the staff's awareness of quality In 2017, BYD invited Yang Gang from the f a c t o r i e s ' q u a l i t y s y s t e m a n d p r o d u c t i o n p r o c e s s , e n h a n c e t h e r e in three levels ranging from management, e w o r l d f a m o u s C r o s b y M a n a g e m e n t supporting the improvement of its operators' awareness of self-inspection n P execution, and operation and pushing the I n s t i t u t e , Z o u L i a n g f r o m Z h e j i a n g product quality. and quality, improve self-management r o quality management of BYD another big d University, and Japanese Consultant In the meantime, for the design and mechanism and product quality and lower u c step forward. t Yoshimi Tanabe to give training classes on development of complete vehicles, quality management cost. s a zero defect, QFD, on-site management n BYD has planned and implemented the d T e c h n Star Rating o IQS-Oriented Quality Target Management and Assessment l o g B Y D h a s e s t a b l i s h e d a q u a l i t y of its factories from areas including i e BYD has KPI indicators based on IQS collection and analysis of IQS achievement s management system star-rating model system, process and products. The rating quality management. It determines annual data, it has provided basis for decision- which is driven by “comparison, help, IQS targets by vehicle models and divides making in relation to product quality catching up and exceeding”, which the targets. In order to achieve IQS improvement. IQS assessment, which Five- evaluates the quality management system

C star targets, BYD has developed detailed accounts for 60% of quality management h a Four- q u a l i t y s t r a t e g y p l a n s , a n d u s e s a s s e s s m e n t , c a r r i e s o u t m o n t h l y r i t star y A benchmark of r e s p o n s i b i l i t y l e t t e r , t e c h n i c a l assessment by product based on plant Three- management, may improvement, process improvement, test p e r f o r m a n c e . B Y D p r o v i d e s p r o j e c t star be considered as a Excellent support and quality system evaluation as incentives for products which have management. model of Two- the means to ensure the realization of consistently met IQS standards. star Meeting the management. One- essential minimum quality targets. Through IQS forecast and star requirements of ISO9001 BYD's star-rating management quality Most basic management system has been Special Quality Inspection requirements of system, reflecting a preliminarily control are in place, qualified standard BYD established a quality inspection meticulousness, penetration in depth, and established with but systematic in quality control. system with BYD's characteristics and focus on the more important things" and management has management system planning not yet established. adhered to the inspection principle of set up 6 inspection teams in software and management. "seeking truth from facts, profession and m a n a g e m e n t , S M T, p o w e r b a t t e r y

57 58 BYD CSR REPORT 2017 R e s p o n s protection, wiring harness, grounding and technical capability, process capability and i b l e O aging to provide professional and technical management level through such means as

p support for quality risk product analysis inspection, training, standard setting, e Good r a a n d i m p r o v e m e n t , j o i n t l y d e v e l o p professional guidance, and process

t quality i o High n improvement measures, and enhance the improvement. ability quality Acceptable ability quality New Project Quality Ability Assessment and PPAP Weak ability Assessment and Incentives quality ability

G No As for the quality of new products components and parts successfully obtain r

e quality e launched, BYD has established strict PPAP approval. n P ability quality threshold from trial production to r Meanwhile, based on the New Project o d mass production, carries out the multiple u Quality Ability Assessment, BYD also c t stages assessment of high risk parts since s a motivates and regulates the PPAP pass n the R&D E process, trial production quality rate of vehicle models through PPAP d T ability assessment of medium risk parts assessment after they have commenced SkyRail Quality Management System Assurance e c and self-check and self-rectification of low h m a s s p r o d u c t i o n ; a s s e s s m e n t i s n BYD has established a perfect quality has reached the most stringent safety o risk parts and guides plants into focusing l conducted by associating the PPAP pass o assurance system for its SkyRail, obtained performance standards made by the g on new product yield and pace through new i time and components and parts price to e ISO9001 certification in March 2017, EN European Union countries. In December s project quality ability assessment, which strengthen the assessment and shorten 15085 welding system certification issued 2017 it passed the new version of has made good preparations for mass the PPAP pass cycle until complete by TÜV Rheinland Group in November I S O / T S 2 2 1 6 3 Q u a l i t y M a n a g e m e n t production of vehicles and ensured that approval. This is to ensure the raw 2017 and ISO 3834-2 quality assurance System Certification of the rail transit components and parts successfully obtain materials and spare parts required for the C certificate of fusion welding of metal industry to provide SkyRail customers with h PPAP approval.As for the quality of new a p r o d u c t i o n o f w h o l e v e h i c l e s a n d materials, marking that the BYD SkyRail strong quality assurance capabilities. r i

t products launched, BYD has established y component parts of passenger vehicles strict quality threshold from trial production meet the requirements of product design to mass production, carries out the multiple documents and mass production. In Customers' Voice stages assessment of high risk parts since addition, it continues to enhance the B Y D r e g u l a r l y c o l l e c t s c u s t o m e r the product development stage to make the the R&D E process, trial production quality management of product and project quality complaints through the Internet, by designers better understand the needs of ability assessment of medium risk parts at the plants and continuously promote the telephone, and via research and other customers. and self-check and self-rectification of low steadiness and liableness of spare part forms, and introduces data analysis into risk parts and guides plants into focusing quality. on new product yield and pace through new New Project Quality Ability Assessment project quality ability assessment, which includes five levels: has made good preparations for mass production of vehicles and ensured that

59 60 BYD CSR REPORT 2017 R e s p o n Customer Review s i b l e O By benchmarking the industry-leading and at the same time, set up a vehicle long- p b r a n d s , B Y D e s t a b l i s h e d o b j e c t i v e distance road test and test methods to e r a assessment standards and methods from evaluate the long-term durability of the t i o Based on adequate n t h e c u s t o m e r ' s p o i n t o f v i e w t o vehicles. Based on continuous familiarity with the quantitatively evaluate the vehicle quality, understanding and VOCs complaints learning of the of the market and User Experience Assessment industry trends customers G BYD has set up its own user experience others, point out the shortcomings and r e e assessment team to evaluate the general opportunities for improvement in the n P q u a l i t y o f t h e n e w c a r s f r o m t h e process of products use and experience. r o d perspective of customers to better meet The evaluations involve components u c t the expectations of customers for the assembly level, performance of each s a Based on a

n quality of their products, carry out the car system (static and dynamic), ride comfort, d T Based on the use and experience evaluation fully high quality feeling, etc., with details multidimensional e c continuous

h representing the opinions of the terminal including man-machines, operational approach to risk n o customers based on VOC information and comfort, and convenience. accumulation of l assessment (problem o g competitive product comparison data and i e competitive severity, customer s advantage details focus, and customer Enhancing the users' experience and data collection concern about the competitiveness of vehicle models problem)

C A comprehensive

h assessment of the

a level of perceived r quality i

t Avoiding y system-related serious Finding out weakness obvious perceived defects

61 62 Charity BYD CSR REPORT 2017 R e s p o n BYD Charity Foundation s i b l e O In July 2010, BYD donated to set up the BYD Charity Foundation (the “Foundation”). The Shell Scheme p e Foundation, with “help the poor through technology, care for the weak, support education r a The Shell Scheme is jointly conducted by concern about the women with cervical t

i hand in hand, care dedicatedly, support and promote the progress of corporate o n the Foundation and Shenzhen Lions Club health. philanthropy and social commonweal” as its principle, and “technological innovation with the aim of “Concern about Cervical promotes philanthropy” as its concept, actively promotes the development of social welfare In 2017, a total of more than 1,300 women Health, Care for Women and Passing on undertakings, and takes practical actions to assume social responsibility and repay the underwent free cervical screening. Love”, hoping through public welfare society. actions to enhance the whole society's BYD's charity activities mainly concentrate on three areas, being disaster relief, poverty G r e alleviation and saving the orphans and disabled. e n P In 2017, its major donations and public welfare projects include the followings: r o d u c a H t e s a n D l d p i n i s Serious disease pension n

a Donations for people d T i g t s s

affected by the flood a t h e e

b Donations to the Ocean in Hunan e o r c l

e Heaven Project of the On h d e n

r Foundation

l Other donations p o i e h l o f

a Other donations g n i e s s

One Person, One Desk Shell Scheme

C Grant-in-aid for poor high school students h P a Condolence payments to poverty-stricken households r o i t v in Liuyang City of Hunan Province y e

r Make donations to the Red Cross's "Fraternity Health t y a Station" and "Village Doctor Training Course" l

l Donations to the poverty-stricken households in Yuexi e

v of Anhui Province for cultivating organic ecological tea i a

t Aid to the construction of pension construction projects i o in Shanwei City of Guangdong Province n Assistance in completing the infrastructures of old revolutionary base areas in Shaoguan of Guangdong Province Donation to the infrastructure construction of a school in Changsha City to update school

In 2017, the Foundation donated a total amount of RMB 7,904,400, accumulating a total of RMB 83.56 million in donations over the years.

65 66 BYD CSR REPORT 2017 R e s p o n s i b l e O One Person, One Desk Grant-in-Aid for Poverty-Stricken High School Students p e The “One person, one desk” project is schools in poor areas. The Foundation's grant-in-aid for poverty- funding one more year for those who have r a t

i jointly initiated by the Foundation and SF stricken high school students program is been enrolled by universities. As of 31 o In 2017, it provided a total of 1,000 desks n Foundation, which aims to gather the and chairs to poor areas in Changsha, designed to fund three-year schooling for December, 2017, a total of 209 students caring forces at BYD and the community Hunan, Haidong, Qinghai, Guang'an, needy high school students and continue were aided by the Foundation. and improve the education environment for Sichuan and Xi'an, Shaanxi. They have been children in poor areas. The project mainly put into use and are welcomed by local BYD Volunteers Association provides desks and chairs for free to schools and students. G r e B Y D Vo l u n t e e r s A s s o c i a t i o n ( t h e building of corporate culture to promote the e n P “Association”) was established in October construction and development of the r o 2015. Its predecessor is the Volunteers Company's spiritual civilization and enable d u Team of the Foundation, a non-profit social the volunteers to upgrade themselves in c t s a organization with BYD employees as its the process of serving the society and n

d T members. Observing "walking with love helping others.

e and warming everyone with action", the

c The Association has set up sub-stations in h n Association instructs BYD volunteers to 11 production bases, with 1,936 registered o l o carry out volunteer service activities based v o l u n t e e r s . I n 2 0 1 7 , a t o t a l o f g BYD Charity Day i e on the principle of "voluntary participation,

s approximately 6,000 volunteers from the In 2017, BYD, via the Foundation, set the On 3 March, 2017, BYD Charity Day was action in accordance with our own ability, Association participated in the volunteer first Friday of each month as a "Charity officially launched and in the reporting s t r e s s i n g p r a c t i c a l r e s u l t s , a n d activities. Day" and launched a series of activities. period the Foundation launched multiple perseverance", and in combination with the BYD hopes to establish a bridge of love activities via "Charity Day" such as charity C h

a with external organizations through regular bazaars, charity lectures, community care, r i t

y public welfare activities so that BYD's p a r e n t - c h i l d c h a r i t i e s , a n d c h a r i t y public-spirited forces can contribute to the donations. development of social charities.

1,936

11 Stations Registered Members

67 68 BYD CSR REPORT 2017 R e s p o n Deep Love Through Old Clothing I Love My Home s i b l e O In 2017, the “Deep Love through Old present. More than 2,000 BYD employees The Association launched the "I Love My At the same time, the Association also

p C l o t h i n g ” o l d c l o t h e s r e c y c l i n g donated above 100,000 pieces of clothes, H o m e " P u b l i c - S p i r i t e d A c t i v i t i e s i n brought “No Trash on the Ground” into e r a environmental protection activities were of which some relatively new ones were I n d u s t r i a l P a r k s . W i t h i n t h e B Y D communities and to serve the society. In t i o held at 10 production bases of BYD cleaned, packed, and sent to Dabang n production base, the Association focused 2017, the volunteers conducted activities including Shenzhen, Huizhou, Shaoguan, Village, Yongcong Townlet, Liping County, on three " long-standing, big and difficult " in the Shenzhen Pingshan Park, Shenzhen Xi'an, Dalian, Changsha, Shangluo, Guizhou Province and schools in Tibetan p r o b l e m s c o v e r i n g s a n i t a t i o n , Maluanshan Park, Shaoguan National Beijing and Shanghai. Over 500 volunteers areas, while the rest were recycled by the transportation and greening, and launched Forest Park, Banzhangling Forest Park in participated in the activities, popularized sorting centre and made into items such as three main activities namely “No Trash on Huizhou, Gold Coast in Huizhou, and so

G knowledge on recycling of old items and quilts and gloves to be donated to some the Ground”, “Park and Walk by the Rules” o n , a d v o c a t i n g t h e c o n c e p t o f r e called for donations from everyone hospitals and impoverished areas. e and “Beautify Our Parks”. environmental protection and interiorizing n P In 2017, “Beautify Our Parks” continued to the habit of environmental protection along r o d be carried out on a large scale and with hundreds of volunteers participating in u c the activities. t attended by more than 10 industrial parks. s a n d T e c h n o l o g i e s C h a r i t y

69 70 BYD CSR REPORT 2017

Index of Indicators

Index of Indicators in the Report GRI Sustainability CASS-CSR 3.0 of Environmental, Social and Reporting Guidelines Chinese Academy of Governance Reporting Guide Contents issued by the Hong Kong GRI Sustainability CASS-CSR 3.0 of Environmental, Social and (G4) Social Sciences Governance Reporting Guide Stock Exchange Contents Reporting Guidelines Chinese Academy of (G4) Social Sciences issued by the Hong Kong Stock Exchange Protecting investors’ P5.2,M1.1, rights and interests M1.2,M1.3,M1.5 G4-23,G4-28, P1.1,P1.2, G4-29,G4-30, About this report P1.3,P1.4, G4-31,G4-32, P5.2,M2.1, P1.5 Protecting customers' B6 G4-48 G4-PR5 M2.2,M2.3, rights and interests M2.13,M2.14 B6.2,B6.5 Message from the president G4-1 P3.1,P3.2,P5.1 P5.2,G3.2,M3.6, G4-12,G4-EN32, Sustainable CSR management Supply chain M3.7,M3.8,M3.9, B5 management G4-EN33,G4-LA14, M3.10,M3.12,E3.1, B5.2 G4-HR10,G4-SO9 E3.2 G4-3,G4-4,G4-5, P4.1,P4.2,P4.3, About us G4-7,G4-8,G4-9, P5.2,M1.4,M2.11 P5.2,S2.17,S2.19, G4-34,G4-56 Production safety S2.20,S2.22,S3.1, management G4-LA6 S3.2,S3.3,S3.5,S3.6 CSR strategy G1.1,G2.1,G2.4

Social P5.2,S4.1,S4.2, G4-EN1,G4-EN3, E1.1,E1.4,E1.6, A1,A2,A3, responsibility G5.4,G5.5 E1.10,E1.11,E2.1, G4-EN6,G4-EN8, A1.1,A1.2,A1.3, communication Reducing the E2.2,E2.3,E2.5, G4-EN15,G4-EN16, A1.4,A1.5,A1.6, impacts on the E2.6,E2.7,E2.8, G4-EN17,G4-EN19, A2.1,A2.2,A2.3, P2.2,P2.3,P4.6, environment E2.9,E2.10,E2.11, G4-15,G4-16, A2.4,A2.5, Stakeholder P5.3,P5.4,G1.2, G4-EN21,G4-EN22, E2.12,E2.13,E2.14, G4-24,G4-26, A3.1 engagement G1.3,G5.1,G5.3, G4-EN23,G4-EN30, E2.15,E2.16,E2.18, G4-27,G4-44 G5.6,S1.6 G4-SO1 E2.19,E3.6

Responsible operation Green products and technologies

P5.2,M2.10,M3.2, Technology-based G4-57,G4-58, B7 and G4-EC8 M2.7,M2.8,M2.9,E3.4 Operation and M3.3,M3.4,S1.1, G4-SO4 B6.3,B7.2 innovation-oriented management S1.3,S1.4 Green products G4-EN7,G4-EN27 E3.4 B6

G4-9,G4-10, P4.5,P5.2,S1.7, B6 Comprehensive M2.5 G4-EC3,G4-LA9, S1.8,S2.3,S2.12, quality assurance B6.4 Caring for S2.13,S2.18,S2.21, B1,B2,B3,B4, employees G4-LA10,G4-LA11, S2.24,S2.25,S2.26, B1.1,B2.3,B3.1, P5.2,S4.4,S4.9, G4-LA12,G4-LA13, B8 S2.27,S2.28,S2.29, B3.2 Charity S4.10,S4.12,S4.13, G4-HR2,G4-HR3 B8.1,B8.2 S4.5,S4.6 S4.14,E4.5

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