华恒生物披露2025年度ESG报告，内容为年度可持续发展信息披露

Environmental, Social
and Governance (ESG) Report
Environmental, Social
and Governance (ESG) Report
Anhui Huaheng Biotechnology Co., Ltd.
Anhui Huaheng Biotechnology Co., Ltd.

About this Report
Message from the Management
About AHB
ESG Development Strategy
01
03
05
09
Appendix
Laws and Regulations
ESG Key Performance Indicators
Content Index
Assurance Statement
97
99
107
115
Strengthen Standardized Governance
Enhance Compliance Code
Adhere to Business Ethics
19
22
25
Responsible Governance:
Strengthen the Foundation
of the Enterprise
Implement Climate Action
Optimize Resource Recycling
Protect Ecological Balance
29
34
41
Green Operation:
Promote Low-carbon
Transformation
Ensure Product Safety
Prioritize Sustainable Products
Promote Research and Innovation
55
63
65
Craftsmanship Products:
Create Outstanding Quality
Gather Enterprising Talents
Foster Collaborative Success with Partners
Contribute to Social Welfare
75
87
95
Humanistic Care:
Create a Better Life

This report is the third publicly released Environmental, Social and Governance (ESG) Report of Anhui Huaheng
Biotechnology Co., Ltd. (Stock Code: 688639.SH) (hereinafter referred to as "AHB", "the Company", or "we"). This
report aims to disclose our strategic vision, initiatives, and performance in environmental, social and governance
areas for 2025 to our stakeholders.
Report Introduction
This report covers Anhui Huaheng Biotechnology Co., Ltd. and its subsidiaries, and the scope of the report is
consistent with that of our Annual Report. The time range is from January 1, 2025 to December 31, 2025, and the
release cycle is once a year, which is consistent with the fiscal year.
Reporting Scope
Address: No.197 Chang'an Road, High-tech District, Hefei City, Anhui Province
Website: www.huahengbio.com
Email: ahb@ehuaheng.com
Tel: +86-0551-65689046
Contact Information
This report is prepared in accordance with the "Guidelines No.14 of Shanghai Stock Exchange (SSE) for Self-Reg-
ulation of Listed Companies—Sustainability Report (Trial)" (hereinafter referred to as the "Guidelines No.14"), and
refers to the "Guide No.13 for Self-Regulatory Supervision on Listed Companies of the SSE STAR Market— Com-
pilation of Sustainable Development Reports", the "Global Reporting Initiative (GRI) Standard for Sustainability
Reporting" issued by the Global Sustainability Standards Board,and the Chemical Industry Standards released by
the Sustainability Accounting Standards Board (SASB), among other relevant documents.
Reporting Standards
The content, data, and cases disclosed in this report are sourced from internal company documents, original
internal ledgers, publicly available website information, and third-party review reports. Some economic
performance data come from our 2025 Annual Report and have been organized, edited, and reviewed by the
Company's ESG Report preparation team. Unless otherwise specified, the currency unit used in this report is RMB.
Data Sources
AHB undertakes to supervise the contents of this report and ensure that there are no false records or misleading
statements. The Board has reviewed and approved this report and guaranteed the authenticity, accuracy and
completeness of the contents of this report.
Commitments and Statements
Stakeholders can view and download this report on the official website of AHB (www.huahengbio.com). This
report is available in both Chinese and English for readers to refer to. In case of any ambiguity or inconsistency
due to language, the Chinese version shall prevail.
Obtain This Report
About this Report
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Environmental, Social and Governance (ESG) Report

Honoring Social Responsibilities to Carry Forward Our People-Centered Original Intention
Guided by the people-oriented philosophy, we have built a comprehensive talent training and incentive framework to
cultivate international interdisciplinary professionals and empower our employees to grow in their careers. Committed
to win-win outcomes across the industrial chain, we cooperate with global partners including BASF and Evonik to build
a sustainable industrial ecosystem and drive coordinated development of upstream and downstream participants. We
actively engage in public welfare initiatives spanning educational support, flood disaster relief and ecological protection,
launching multiple charitable donation programs to embody corporate care through tangible actions. We have rolled
out a penetrative ESG supply chain management system, encouraging upstream and downstream partners to jointly
adopt sustainable development practices and fully embody our identity as a responsible corporate citizen.
Reinforcing Governance Foundations to Safeguard Stable Long-Term Growth
We keep refining our modern corporate governance structure. We set up the Strategy and ESG Committee and optimized
the setup of all special board committees. We operate in full compliance with the newly revised Company Law of the Peo-
ple's Republic of China, while upgrading our internal control and information disclosure systems. We uphold the principle
of win-win shared benefits, maintain a high cash dividend payout ratio, and deliver tangible returns to shareholders. Rely-
ing on transparent governance and efficient administration, we secure stable corporate growth and lay solid institutional
groundwork for sustainable development.
Twenty years of remarkable growth lie behind us, and we march firmly into a brand-new journey. Despite multiple
headwinds in 2025, including supply-demand volatility across the industry and mounting international trade barriers,
we press steadily ahead, taking innovation as our blade and corporate responsibility as our sail. Standing at the new
milestone of our 20th anniversary, we will hold fast to our green development aspiration, stay focused on our core
synthetic biotechnology business, and prioritize technological innovation, global layout and ESG implementation
as our key workstreams. We aim to create value for shareholders, enable employee career advancement, chart the
development roadmap for the whole industry, and contribute our share to society, writing a brilliant new chapter of
sustainable development for AHB over the next two decades.
2025 marks the 20th anniversary of AHB persistent cultivation and dream-driven advancement, as well as a pivotal
year for the synthetic biomanufacturing industry embracing high-quality development. We have always upheld our
original aspiration and mission of "advanced biotechnology for healthy life and sustainable world" , anchored our
development vision to become a global leader in the biotechnology industry, and fully integrated ESG principles into
every link of our corporate strategic planning and daily operation and management. We break new ground through
green innovation, pursue lasting progress via responsible practice, and secure steady growth with sound governance.
We have delivered solid results across Environment, Social and Governance dimensions, contributing our strength to
the sustainable development of the biotechnology industry.
Advancing Green and Low-Carbon Development to Consolidate the Ecological Foundation
We adhere to the development pathway of replacing non-renewable petrochemical resources with renewable biological
resources, and replacing energy-and-pollution-intensive petrochemical processes with green and clean biological manu-
facturing techniques. We implement the "Triple Zero" Strategy (Zero Carbon Emission, Zero Waste, Zero Petrochemical Re-
source). Leveraging synthetic biotechnology, we conduct large-scale production of L-alanine, bio-based 1,3-propanediol
(PDO) and other products using renewable feedstocks such as glucose. Our core production processes feature low carbon
footprints and environmental friendliness, and our bio-based PDO has obtained certification for exemptions under the Eu-
ropean Union (EU) Carbon Border Adjustment Mechanism (CBAM). We continuously upgrade production techniques and
scale up renewable electricity adoption. We have jointly established a wetland protection station to honor our low-carbon
commitments via a "technology + ecology" model, supporting the delivery of China's national "Dual Carbon Goals".
Boosting Innovation Leadership to Unleash New Industrial Growth Drivers
We pursue integrated innovation of biology and AI (Artificial Intelligence), and consistently ramp up research and develop-
ment (R&D) investment. Thirty-three new patents were newly granted throughout the year, and we were named one of
the first batch of National biomanufacturing Pilot-Scale Capacity Building Platforms designated by Ministry of Industry
and Information Technology (MIIT). This has opened up a full-chain transformation channel covering laboratory research
all the way to commercial industrialization. We deepen our footprint in the bio-based new material track, facilitating the
application of 1,3-propanediol and other products in high-end materials, daily chemicals and other sectors to accelerate
the popularization of green materials. By advancing "Biology + AI" integrated innovation, we have built an intelligent
R&D system and overcome core technical hurdles including strain construction and fermentation control. We spearhead
industrial upgrading through technological breakthroughs, delivering our insights to fuel the development of new quality
productivity.
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Message from the Management

About AHB
Anhui Huaheng Biotechnology Co., Ltd. is a high-tech enterprise centered on synthetic biology, dedicated to green
technological innovation and the creation of green value. Until now, our main products include amino acid series
(alanine series, L-valine, isoleucine, tryptophan, arginine, etc.), vitamin series (D-calcium pantothenate, D-panthenol,
inositol), bio-based new material monomers (1,3-propanediol, succinic acid), and other products (malic acid, arbutin).
These products can be widely applied in intermediates, animal nutrition, personal care, human nutrition & flavor, plant
nutrition, and many other fields. After years of innovative development, AHB has become a global leader in the
manufacturing of bio-based products.
AHB upholds the concept of green environmental protection, developing cutting-edge synthetic biology technology.
We have successfully undertaken the National Development and Reform Commission's Biotechnology Industry
Demonstration Project and won the title of Champion in Manufacturing by the MIIT. Currently, AHB owns the AHB
Synthetic Biology Research Institute, which possesses sustainable innovation capabilities, as well as four major
production bases in Changfeng, Qinhuangdao, Bayannur, and Chifeng, all known for high-quality delivery capabilities.
Company Profile
Multiple Categories
Amino Acids
Intermediates
Animal nutrition
Personal care
Human nutrition
& flavor
Plant nutrition
Vitamins
Bio-based New
Materials
Monomers
Other Products
Applications
Multiple Products
Alanine series
L-Valine
Tryptophan
Arginine
Isoleucine
1,3-Propanediol (PDO)
Succinic Acid
Malic Acid
Arbutin
D-Calcium
Pantothenate
D-Panthenol
Inositol
As a global leader in bio-manufacturing, AHB continues to make efforts in synthetic biology innovation and R&D, and has
gradually formed a business layout of amino acids, vitamins, bio-based new material monomers and other products.
Main Business and Products
Development Strategy
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Vision
To become the global leader in a
new biomanufacturing paradigm.
Mission
Advanced biotechnology for
healthy life and sustainable world.
Development Path
Replacing non-renewable petrochemical resources with renewable biological resources, and replacing
energy-and-pollution-intensive petrochemical processes with green and clean biological manufacturing techniques.
Core Values
Drive Customer Achievement,
Champion Mutual Success,
Excellence through Innovation,
Powered by Dedication.

Honors
In 2025, AHB actively improved in four dimensions: environment, labor
and human rights, business ethics and sustainable procurement, and
won the silver medal in EcoVadis rating1.
1 AHB won the Silver Award in March 2026. Search link: https://recognition.ecovadis.com/Rrb0BaLXtE-riJ2PLaOJqg
Qualifications
ISO 14001 Environmental Management
Systems Certification
High-performance Bioreactors Innovation Task
"Open Bidding for Selecting the Best Candidates"
(Participating Unit)
ESG Performance
ESG
Recognition
Wind ESG Rating
A
A
CCX Green Finance ESG Rating
ESG Rating
Honors and Certifications
ISO 50001 Energy Management System
Certification
GB/T 29490-2023 Intellectual Property
Compliance Management System Certification
China National Accreditation Service for
Conformity Assessment (CNAS) Laboratory
Accreditation Certificate
ISO 45001 Occupational Health and Safety
Management System Certification
ISO 27001 Information Security Management
System Certification
ISO 9001 Quality Management System
Certification
ISO 22000 Food Safety Management
System Certification
National MIIT Landmark Product in
Bio-manufacturing
(L-alanine)
Top 30 Biostimulant Enterprises in China
Top 50 Listed Companies in China for
New Quality Productivity
2025 Anhui Province Future Industry Landmark
New Product
(High-Yield Inositol via Green Biosynthesis)
First Batch of "Three New" Products
Certified in 2025
(New Product: Bio-based L-valine)
National Postdoctoral Research Workstation
Provincial "Triple Firsts" Product of Hefei
(L-alanine)
First Batch of High-tech Enterprise in
Hebei Province 2025
(Qinhuangdao Huaheng)
Anhui Province Synthetic biomanufacturing
Industry Innovation Center
National biomanufacturing Pilot-Scale
Capacity Building Platforms
National Specialized, Refined, Differential and
Innovative "Little Giant" Enterprise
(Bayannur Huaheng)
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Environmental, Social and Governance (ESG) Report
Young Professionals SDG Innovation
Accelerator Certification
United Nations Global Compact (UNGC)
The 3rd Guoxin Cup·ESG Carbon
Neutrality Golden Bull Award
China Securities Journal
2025 Best ESG Innovation Award
CCX Green Finance
SSE Eagle Golden Quality Award -
Top 100 ESG Enterprises
Shanghai Securities News
(China Securities Network)
2025 ESG Pioneer Individual Award
CCX Green Finance

AHB regards ESG management as a core strategy and deeply
integrates the concept of sustainable development into all
aspects of AHB's operations. By establishing a sound ESG gover-
nance structure, formulating a clear sustainable development
strategy, and actively communicating and collaborating with all
stakeholders, AHB continuously optimizes the management and
analysis of material topics and promotes the systematization and
standardization of ESG practices.
ESG Development Strategy
The Board of Directors of AHB actively integrates ESG into our
supervision and management, including participating in
decision-making on major ESG-related matters, overseeing the
direction of the ESG strategy, and managing ESG-related risks
and opportunities. The Board of Directors will continue to
improve our corporate governance structure, refine our internal
control system, standardize corporate operations, and ensure
our steady and sustainable progress on the path of sustainable
development.
The Board of Directors requires the management to implement
environmental management policies to reduce the ecological
footprint, improve resource utilization efficiency, and lower
pollutant emissions, thereby protecting the health of the
environment and ecosystems and aligning our long-term devel-
opment with social and environmental interests. The Board of
Directors undertakes to actively fulfill its social responsibilities,
attract talents with an open and inclusive attitude, and safeguard
the legitimate rights and interests of employees. Meanwhile, we
will focus on our core business of synthetic biology, enhance the
industrialization capability of key technologies, and revitalize
industrial vitality.
Board Statement
AHB has established a sound three-tier ESG governance structure, comprising the Board of Directors, the Strategy and ESG
Committee, and the ESG Working Group, to ensure that the concept of sustainable development runs through all corporate
operations. Through a clear division of responsibilities, the roles and functions of the Board of Directors and its subordinate
Strategy and ESG Committee are strengthened in researching and formulating our ESG strategy, identifying material topics,
managing ESG risks and opportunities, driving ESG performance management, and enhancing capital market rating perfor-
mance.
ESG Management System
ESG Governance Structure
ESG-related Functions
Board of Directors
As the highest decision-maker for our ESG management, the Board of Directors is responsible
for formulating the overall strategic direction of ESG management, overseeing the progress of
ESG initiatives, and ensuring the deep integration of the sustainable development concept with
our long-term development goals.
Strategy and
ESG Committee
Under the leadership of the Board of Directors, the Strategy and ESG Committee is responsible
for conducting in-depth research and formulating our ESG strategic plans, identifying material
ESG topics relevant to our business, and assessing ESG risks and opportunities. Meanwhile, the
Committee is also responsible for guiding the construction of the ESG performance manage-
ment system, promoting the close integration of ESG goals with business operations, and
overseeing the implementation of ESG-related policies to ensure the effective execution of
strategies.
ESG Working Group
The ESG Working Group, as the implementation level of the ESG strategy, is responsible for
concretely implementing the decisions of the Board of Directors and the Strategy and ESG
Committee. The main functions include: carrying out daily ESG management, coordinating
various departments to advance ESG projects, collecting and analyzing ESG data, compiling
ESG reports, and communicating ESG progress with internal and external stakeholders. In
addition, the Working Group is tasked with tracking the latest developments in the ESG field,
putting forward improvement suggestions, and driving the continuous optimization of our
sustainable development practices.
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AHB takes "Green Source Reborn, Carbon Recycling for the Future" as the core of its ESG strategy, committed to driving
resource recycling and regeneration and contributing to global sustainable development through green innovation in synthet-
ic biology technology. Biosynthetic technology is not only a key pathway to replace traditional chemical processes but also an
important force in achieving carbon reduction targets. We hope to set a benchmark for the industry through breakthroughs in
green technologies and contribute our part to the sustainable development of the planet.
AHB's ESG strategy is closely aligned with the Sustainable Development Goals (SDGs) of UNGC and centers on four pillars: G—
Responsible Governance, E—Green Operation, S—Craftsmanship Products, and S—Humanistic Care. Starting from within AHB
and gradually extending to partners, communities, and society, this framework reflects AHB's grand vision of driving industry
transformation through green technology and co-creating a better future. Through continuous innovation and responsible
practices, AHB will not only deliver higher-quality products to customers but also inject more green momentum into the
sustainable development of the planet, joining hands with global partners to move toward a better future together.
ESG Strategic Planning
Green Source
Reborn,
Carbon Recycling
for the Future
AHB Received "Young Professionals SDG Innovation Accelerator" Certification from the UNGC
Case
AHB actively advances the SDGs and promotes the deep
integration of ESG strategy with global sustainable devel-
opment issues. During the reporting period, AHB was
certified by the UNGC as part of its Young Professionals
SDG Innovation Accelerator, marking that AHB's contribu-
tion to the SDGs through its young talent development
model has received international authoritative recognition.
"Young Professionals SDG Innovation Accelerator" Certification
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AHB values the expectations and needs of its stakeholders and is committed to establishing a systematic and regular commu-
nication mechanism. AHB maintains close ties with stakeholders including government and regulatory agencies, shareholders
and investors, employees, customers, suppliers and partners. Through various channels, we extensively collect and carefully
listen to the opinions of all parties. Meanwhile, we continuously optimize communication channels to gain an in-depth under-
standing of the impact of our operations on stakeholders, address challenges posed by ESG risks, enhance trust among all
parties, and collectively advance the achievement of sustainable development goals.
Stakeholder Communication
Stakeholders
Expectations and Demands
Communication Channels and Mechanisms
Compliance
Pay taxes according to law
Anti-corruption
Protection of shareholders' equity
Good corporate governance
Increase return on investment
High quality information disclosure
Risk management
Business ethics
Employee rights protection
Employee compensation and benefits
Employee health and safety
Staff training and development
Product quality and safety
Sustainable product
Quality service
Information security and privacy
protection
Supervision and inspection
Meeting exchange
Open consultation
Information disclosure announcement
Shareholder's meeting
Daily phone and email communication
Exchange on the SSE e-interactive platform
Performance presentation
Investor research
Workers' congress
Staff training
Performance evaluation
Complaint and feedback mechanism
Customer visits and communication
Customer satisfaction survey
Exhibition customer communication
Industry communication and
discussion activities
Government and
Regulatory Agencies
Shareholders
and Investors
Employees
Customers
Sustainable supply chain
Product quality and safety
Intellectual property protection
Business ethics
Product R&D and innovation
Industry development
Public welfare charity
Community development
Environmental protection
Scientific research and innovation
Talent cultivation
Supplier selection and evaluation
Supplier communication meetings
Strategic cooperation
Research visits
Industry communication
On-the-spot investigation
Public welfare activities
Community visits
Employee volunteer service
Cooperation between school
and enterprise
Academic research
Suppliers and Partners
Industry Associations
Community
Universities and
Research Institutes
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Stakeholders
Expectations and Demands
Communication Channels and Mechanisms

By comprehensively referring to international standards and disclosure frameworks (GRI, SASB, SDGs),
capital market rating agencies (EcoVadis, CDP, MSCI), requirements of the SSE and key customers, peer
performance, and our own business development, we identified 24 material ESG topics most closely related
to our operations.
Identification
We invited internal and external stakeholders to assess the materiality of topics through questionnaires,
including our management team, the ESG Working Group, employees, customers, suppliers, and partners.
Research
Topics were prioritized through quantitative assessment across the two dimensions of impact materiality and
financial materiality.
Prioritization
Following the review, the Board of Directors and management team confirmed the results of this year's
double materiality assessment.
Confirmation
Our management team reviewed the topic assessment process and prioritization results.
Review
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We use a double materiality topic assessment method in ESG management practice to scientifically and systematically identify
and prioritize the most critical ESG topics for us and stakeholders.In 2025, we collected a total of 69 valid responses through a
questionnaire survey, and extensively collected feedback and suggestions from various stakeholders, including the Company’s
directors, senior management, employees, and suppliers. The assessment is conducted from two dimensions: impact materiality
(i.e., the impact on environment and society) and financial materiality (i.e., the impact on AHB's financial performance).
The 2025 material topics for AHB were identified through the following processes:
Assessment of Double Materiality Topics
In 2025, we implemented multi-dimensional adjustments to the list of material topics in compliance with the Guidelines No.14
issued by the SSE. Three removed topics are no longer presented as standalone items, and the relevant content has been
integrated into corresponding sections of the report for disclosure. The specific adjustments are set out below:
The results of AHB's 2025 double materiality assessment are as follows:
2024 Version
2025 Updated
Climate Change and Greenhouse Gas
Emissions
Energy Management
Water Resource Management
Research and Innovation
Sustainable Supply Chain
Biodiversity Conservation
Data Privacy and Security
Response to Climate Change
Energy Utilization
Water Utilization
Innovation-Driven
Supply Chain Security
Ecosystem and Biodiversity Protection
Data Security and Customer Privacy
Protection
Naming Adjustment
2024 Version
2025 Updated
Clean Technology Opportunities, Corporate
Governance, Investor Rights Protection
Deleted Topics
Environmental Compliance Management,
Ethics of Science and Technology, Rural
Revitalization, Equal Treatment to Small and
Medium-sized Enterprises (SMEs)
Added Topics
Customer Service, Product Quality and Safety,
Responsible Marketing
Human Rights and Labor Rights Management,
Employee Compensation and Benefits,
Diversity, Inclusion and Equality
Business Ethics and Anti-Corruption
Waste Management
Safety and Quality of Products and Services
Employee Rights Protection
Waste Disposal, Pollutant Emission
Anti-Bribery and Anti-Corruption,
Anti-Unfair Competition
Topic Integration & Split
Financial Materiality
Impact
Materiality
High
Low
High
Energy Utilization
Water Utilization
Waste Disposal
Intellectual Property Protection
Supply Chain Security
Employee Rights Protection
Training and Talent Development
Anti-Bribery and Anti-Corruption
Data Security and Customer Privacy
Protection
Chemical Safety Management
Pollutant Emission
Safety and Quality of Products and
Services
Employee Health and Safety
Innovation-Driven
Environmental Compliance
Management
Compliance and Risk Management
Response to Climate Change
Ecosystem and Biodiversity
Protection
Social Contribution
Rural Revitalization
Equal Treatment to SMEs
Ethics of Science and Technology
Anti-Unfair Competition
Circular Economy
/

Responsible Governance
Strengthen the Foundation of the Enterprise
01
•Strengthen Standardized Governance
•Enhance Compliance Code
•Adhere to Business Ethics
SDGs Aligned with This Chapter
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In 2025, the Shareholders' Meeting, the Board of Directors and the Management Team exercised clear rights and responsibili-
ties, performing their respective duties, checking and balancing one another while maintaining coordination.
Corporate Governance Structure
Strategy and
ESG Committee
Nomination
Committee
Management Team
Remuneration and
Evaluation Committee
Audit Committee
Shareholders' Meeting
Board of Directors
Number of
Shareholders' Meeting held
5 times
Number of Proposals deliberated
at Shareholders' Meetings
29 items
Number of Board
of Directors held
9 times
Number of Proposals deliberated
at Board of Directors Meetings
68 items
In 2025
Accountable to the Board of Directors, it oversees our daily production, operation and management in accordance with
its job responsibilities and within the scope of authority delegated by the Board of Directors.
Management Team
Accountable to the Shareholders' Meeting, it determines our business plans and investment proposals, implements
resolutions of the Shareholders' Meeting, and strengthens its functions in strategic decision-making and risk control.
The Board of Directors has four subordinate committees: the Strategy and ESG Committee, the Remuneration and
Evaluation Committee, the Audit Committee and the Nomination Committee.
Board of Directors
As the supreme decision-making body, it decides on the appointment and removal of directors and supervisors,
refinancing, major external investments, connected transactions and other material matters. The convening, proposal
submission, holding, voting and resolution of Shareholders' Meeting sessions are all witnessed by on-site lawyers, who
issue legal opinions confirming legality and compliance.
Shareholders' Meeting
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Strengthen Standardized Governance
AHB continues to deepen the reform of its governance system. In 2025, in accordance with relevant laws and regulations
including the Company Law of the People's Republic of China and the Transitional Arrangements for the Implementation of
Supporting Systems and Rules under the New Company Law, AHB abolished the Board of Supervisors. We clarified a manage-
ment structure composed of the Shareholders' Meeting, the Board of Directors and the Management Team, and defined the
duties and powers of each tier. The powers and functions previously exercised by the Board of Supervisors are now undertak-
en by the Audit Committee of the Board of Directors. Meanwhile, we formulated and continuously revised corporate gover-
nance documents such as the Rules of Procedure for the Shareholders' Meeting of AHB and the Rules of Procedure for the
Board of Directors of AHB. We have continuously improved the corporate management system and ensured standardized
operation through institutionalized checks, balances and coordination.
Governance Structure

AHB attaches great importance to the independence and diversity of the Board of Directors, and continuously refines the
Working Rules for Independent Directors. Meanwhile, AHB emphasizes diverse backgrounds (such as gender, age, profession-
al expertise, etc.) in director nominations. All Board members possess extensive industry experience covering fields including
biochemistry, applied science, accounting, and finance.
Board Composition:
Diversified Governance
AHB attaches great importance to investor relations management. Upholding the principles of "Compliance and Transparency,
Equality and Integrity, and Efficient Interaction", AHB has established management systems including the Investor Relations
Management Policy and the Information Disclosure Management Policy, and strictly complies with regulatory requirements to
standardize the entire process of investor communication and information disclosure. We always adhere to fair treatment of all
investors, and in particular create opportunities for minority investors to participate in activities. At the same time, we build a
diversified online and offline communication platform, relying on various forms such as the SSE e-interactive platform, investor
relations email and hotline, performance presentations, and investor research visits to unblock communication channels with
investors. We timely and accurately disseminate information on our operations, governance and sustainable development,
effectively enhancing investors' understanding and recognition of us, and building a sound investor relationship based on
mutual trust and win-win cooperation.
Investor Relations Management
1 director aged 45 or below
3 directors aged 45-55
5 directors aged over 55
Age
Composition
3 independent directors
6 non-independent directors
Independence
Composition
Compliance and Risk Management
AHB has established a comprehensive risk management system and formulated systems including the Control Procedures for
Risk and Opportunity Response Measures, the Management Procedures for Internal and External Environmental Analysis, and
the Internal Audit Management Specifications, to standardize the entire risk management process. The Board of Directors and
its special committees are responsible for overall risk oversight and management. The Audit Committee regularly reviews
internal control and audit-related policies and the effectiveness of their implementation, and evaluates the performance of
external audit institutions. The Legal and Audit Department is dedicated to identifying and breaking down compliance risks in
business operations, implementing special prevention and control measures, and promptly following up on and handling
various compliance issues fed back internally and externally. At the same time, in accordance with the latest laws and regula-
tions, the requirements of the enterprise internal control standard system, and our own business practices, we continuously
evaluate, update and improve our internal control system.
Governance
AHB has specially formulated risk management procedures to systematically identify, assess and address various risks that may
adversely affect sustainable development goals and daily operations. AHB adheres to establishing, improving and effectively
implementing an internal control system. By enhancing internal control management, we improve the efficiency of business
management and decision-making, ensure legal and compliant operations and the security and integrity of assets, consolidate
the authenticity of financial reports and related information, and effectively support the implementation of our development
strategy.
Strategy
To help us better identify, assess and address risks that may adversely affect our sustainable development
goals and operations, we have formulated risk management procedures.
Risk Control
Procedures
Risk Identification
We shall have insights and analysis of
risks related to macro external
environment, segment, industry,
technology, law and other fields, and
identify potential risks that may affect
our medium- and long-term
development according to the
expectations or needs of stakeholders.
Risk Assessment
An assessment is conducted to
determine the level of identified risks.
Risk Monitoring and Reporting
Potential compliance risks are
identified in a timely manner through
monitoring and early warning, and
reported to the relevant responsible
personnel in a timely manner.
Risk Response and Control
The risk owner is designated to
formulate a work plan and take
effective measures to respond to the
risk in a timely manner to reduce the
adverse impact.
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Enhance Compliance Code
AHB comprehensively manages internal and external risks involved in business activities through special risk assessments,
internal audits and other methods, and implements corresponding working procedures and control measures to achieve effec-
tive risk control.
Impacts, Risks and Opportunities Management

Our internal control covers major aspects of business management. During the reporting period, we focused
on supervising and evaluating high-risk areas, including the sales and collection process, procurement and
payment process, project management process, and information system management process. There were
no material deficiencies affecting our business development, and no material omissions were found in the
entities and businesses included in the scope of evaluation. Our internal control system is sound and reason-
able, and its implementation is effective.
Strengthening
Internal Control
To prevent compliance and legal risks related to seal use, AHB strictly implements closed-loop control over
the entire process of seal engraving, custody, use, off-site carrying, and destruction in accordance with the
Seal Management Specifications. A seal management mechanism of "centralized oversight, separation of
approval and usage, decentralized custody, and full-process traceability" has been established.
End-to-End
Seal Control
Based on the Internal Audit Management Specifications, the Legal and Audit Department conducts regular
internal audits, including annual audit projects and special investigation projects. Audit projects are carried
out in strict accordance with the full process of planning, project initiation, implementation, rectification, and
filing. The Department promptly follows up on and addresses compliance issues raised internally and exter-
nally, maintains a ledger of audit findings, and tracks rectification progress to ensure timely resolution of
various potential risks and continuously enhance the effectiveness of internal control supervision.
Internal Audit
Supervision
AHB attaches great importance to the practical implementation and
closed-loop management of compliance control, fully incorporates compli-
ance performance into departmental and individual performance assess-
ments, and ensures that all employees fulfill their compliance responsibilities.
Indicators and Targets
AHB strictly complies with laws and regulations including the Cybersecurity Law of the People's Republic of China and the Data
Security Law of the People's Republic of China. Guided by the International Standard for Information Security Management
System (ISO/IEC 27001), we have established a comprehensive and end-to-end institutional system for data security and
informatization management control. We have set up the Information Security Management Department under the Process
Information Center, which is responsible for the overall construction of the information security system, policy formulation,
maintenance of technical security protection systems, handling information security incidents, and organizing cultural devel-
opment activities such as information security training and red-blue exercises. Quarterly regular inspections are conducted
based on information security checklists to achieve closed-loop management of potential risks. In 2025, we issued and imple-
mented a series of rules and regulations, including the Information Security Management Specifications, Process and Informa-
tization Management System, Master Data Management Specifications, IT Operation and Maintenance Management Specifi-
cations, and Digital Project Implementation Management Specifications, providing solid institutional guarantees for data
security, privacy protection, and compliant informatization operations. At present, AHB and its subsidiaries have obtained ISO
27001 Information Security Management System Certification.
Policy and Certification
Key Performance
During the reporting period
11
compliance audit projects
were completed.
AHB attaches great importance to data asset protection and privacy compliance management. Adhering to the principles of security
first and compliance-oriented, we have built a comprehensive data security governance framework, establishing robust safeguards in
terms of institutional systems, technical protection, and employee awareness. We fully prevent risks such as data leakage and misuse,
and effectively protect the information security and legitimate rights and interests of the enterprise, employees, and partners.
Data Privacy and Security
AHB has built a customer privacy protection institutional system centered on the Information Security Management Specifica-
tions, clarifying control requirements for the entire lifecycle of customer information, including collection, storage, use, trans-
mission, and deletion. In terms of data management, AHB implements classified and tiered data management, dividing data by
sensitivity level and enforcing differentiated access control. In customer information processing, we strictly follow the minimum
necessity principle, collecting only business-related necessary information and clearly informing customers of the purpose and
scope of information use. All customer information is stored in encrypted form, and strict permission control ensures that only
authorized personnel can access it in accordance with their duties, effectively safeguarding customer privacy and security.
Customer Privacy Protection Measures
Information Security Management Measures
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Optimization of
Information
Security System
We have established a sound information security inspection mechanism. We regularly conduct in-depth inspections
of business processes, system architectures, and network facilities, accurately identifying potential security vulnera-
bilities, configuration deviations, and abnormal operations through a combination of automated detection tools and
manual reviews. A list of identified issues is immediately assigned for rectification, followed by tracking and
re-inspection to achieve dynamic elimination of information security risks.
Upgrading of
Information
Security
Technologies
We have introduced advanced network access control systems to strengthen network security defenses. We
optimize firewall rules to intelligently identify and block complex attacks such as Advanced Persistent Threats (APT)
and malware propagation, defending against external network risks. We continuously improve data leakage preven-
tion technologies to effectively block unauthorized external data transmission and further reduce data leakage risks.
A bastion host system has been deployed to effectively mitigate brute-force attack threats to remote login.
Information
Security Training
We require all new employees to complete information security training during onboarding to enhance their aware-
ness of information security protection. Information security culture is integrated into daily operations, such as
incorporating information security knowledge into training materials for projects like SAP (System Applications and
Products). Through information security knowledge promotion across various training scenarios, comprehensive
coverage is achieved from employee onboarding to daily business training. In 2025, we conducted 4 information
security training sessions with a cumulative attendance of 1,339 person-times. The training covers multiple modules
including security awareness building, risk prevention and security incident response, to comprehensively reinforce
our information security defenses.

AHB issued and implemented the Complaint and Reporting Management Specifications, establishing reporting channels for
misconduct including commercial bribery and corruption, embezzlement and fraud, conflicts of interest and self-dealing, and
violations of business ethics, to effectively protect the legitimate rights and interests of employees, suppliers, customers and
other stakeholders.
Protection for Reporters: AHB maintains strict confidentiality of the identities of reporters and witnesses, as well as the
content of reports, throughout the process. Reporting materials are managed as top-secret documents with restricted access;
disclosure of relevant information to the reported party or unauthorized personnel is strictly prohibited. Meanwhile, retaliation
in any form is expressly forbidden. Violators will be seriously disciplined for gross misconduct, and those suspected of criminal
offenses will be referred to judicial authorities in accordance with the law.
Email: shenji@ehuaheng.com Complaint and Reporting Hotline: 0551-65388639
Mailing Address: Legal and Audit Department, No. 197 Chang'an Road, Baiyan Science Park, High-tech District, Hefei City
Reporting Channels
Key Performance
Timely rate of
reported complaints
100 %
Business ethics and
anti-corruption reported incidents
0 cases
Corruption-related
litigation cases
0 cases
Anti-Unfair Competition
AHB always abides by the requirements of laws and regulations including the Anti-Unfair Competition Law of the People's
Republic of China, continuously optimizes internal management documents such as the Code of Business Conduct for Employ-
ees, and consolidates the compliance foundation for anti-unfair competition work. AHB explicitly prohibits all forms of unfair
competition, including false advertising, monopolistic practices, commercial fraud, and infringement of trade secrets. Meanwhile,
AHB strictly complies with integrity codes and specific norms formulated by the countries/regions where it operates, industry
regulatory authorities and relevant organizations, ensuring full-process compliance of business activities.
We require all employees to adhere to high standards of integrity and conduct, treat others with sincerity and act in good faith,
and refrain from any unethical practices that violate the bottom line of business ethics.
In addition, we actively conduct training on anti-unfair competition, continuously strengthen all employees' compliance aware-
ness and capabilities to prevent and control unfair competition risks, and build a solid ideological defense line for integrity-based
operations. In 2025, there were no litigation or major administrative penalties resulting from our unfair competition practices.
Integrity Construction
AHB has formulated a sound code of business ethics and an internal supervision system, continuously strengthening the
compliance and ethical awareness of all employees and partners, and fully consolidating the foundation of corporate business
ethics and anti-corruption governance.
Integrity Construction Initiatives
Complying with the requirements of laws and regulations including the Company Law of the People's Republic of China and the
Anti-Unfair Competition Law of the People's Republic of China, AHB has formulated and continuously improved internal
systems such as the Code of Business Conduct for Employees and the Integrity and Compliance Policy, regulating professional
conduct, clarifying compliance standards, and covering all employees and external partners. Meanwhile, a robust responsibility
mechanism for integrity building has been established. The Audit Head and the Audit Department are responsible for supervis-
ing and managing integrity work, including following up on major integrity projects, managing integrity documents and
information, guiding various departments in conducting integrity risk assessment and prevention, promoting the latest integri-
ty regulations and practices, and handling and investigating integrity complaints and reports. Integrity officers implement and
promote integrity policies, raise anti-corruption awareness among employees in their respective departments, conduct integ-
rity risk assessment and prevention related to business processes, consolidate primary responsibilities at all levels.
Integrity Practice and Risk Prevention Training
Case-Based Compliance Lectures by External Experts
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Adhere to Business Ethics
Regular Reviews by
the Audit Committee
The Audit Committee regularly reviews the implementation of internal systems and norms and provides policy
guidance.
Anti-Corruption
Training
AHB regularly organizes anti-corruption and integrity compliance training for all employees. During the reporting
period, a total of 2 anti-corruption training sessions were held.
Employee
Commitment
and Training
AHB provides all employees with the Code of Business Conduct for Employees and the Employee Integrity Commit-
ment Letter, requiring all employees to familiarize themselves with and study relevant content. The Human
Resources Center organizes all employees to sign the Employee Integrity Commitment Letter, achieving a 100%
signing rate.
Anti-Corruption
Promotion
AHB launches anti-corruption poster campaigns during major festivals. Integrity promotional boards and public
notice boards are set up at base construction sites to comprehensively enhance employees' anti-corruption aware-
ness. AHB plans to expand the scope of integrity promotion, establish an accountability mechanism for major
liability accidents within AHB, and form an effective deterrence.
Anti-Corruption
Risk Position
Assessment
Led by the Legal and Audit Department, AHB conducts integrity risk assessments for high-risk positions including
procurement, sales, production, R&D, finance, engineering, human resources, and audit. AHB grades relevant risks
and implements corresponding control measures.

Green Operation
Promote Low-carbon Transformation
02
•Implement Climate Action
•Optimize Resource Recycling
•Protect Ecological Balance
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Environmental, Social and Governance (ESG) Report
SDGs Aligned with This Chapter

The ESG Working Group of AHB undertakes the core responsibility of identifying climate-related risks. By submitting relevant
topics to the Board of Directors, it effectively ensures that the Board of Directors and the Management Team supervise the
potential impacts and opportunities of climate risks. AHB has systematically assessed climate-related risks and opportunities
and formulated targeted response strategies. We actively collaborate with all stakeholders to jointly address climate challenges
and fulfill sustainable development commitments through initiatives such as researching and promoting eco-friendly products
and advocating resource recycling.
Response to Climate Change
Climate Change Risks and Opportunities
Type
Risk/Opportunity
Description
Potential Financial
Impact
Impact Time
Horizon2
•Frequent occurrence of
extreme weather events (such
as hurricanes, floods, etc.)
may affect the construction
and operation of our projects
to some extent.
•Business and supply
chain disruptions can
lead to lower earnings.
•Develop special inspection
system and emergency plan
for natural disasters to deal
with unforeseen weather
conditions and protect
corporate property from the
impact of climate change.
Short-term
Acute
•The continued rise in global
and regional average
temperatures and long-term
changes in precipitation
patterns result in increased
cooling energy consumption
in our fermentation processes,
mounting pressure on
industrial water use, and
reduced supply stability of
agricultural raw materials.
•The cost of water
resource compliance is
rising, agricultural raw
material prices are
experiencing structural
increases, and there may
be impairment risks due
to existing assets failing
to adapt to climate
change.
•Upgrade water-saving and
cooling facilities, and select
strains with high temperature
resistance and low water
consumption to reduce
production sensitivity to
climate conditions.
Long-term
Chronic
Response Measures
Physical Risks
•Changes in domestic and
foreign climate change
policies may result in
additional costs for us to
ensure compliance.
•The adoption of new
technologies to adjust
daily operations may
result in increased
operating costs and
resources required.
•Implement energy saving
measures and use energy
saving equipment to reduce
carbon emissions in daily
operations and adapt to
higher environmental
requirements.
Medium-term
Long-term
Policies and
Regulations
Transformation Risks
2 Impact time horizon: short-term refers to within 1 year (including 1 year), medium-term refers to 1 to 5 years (including 5 years),
and long-term refers to more than 5 years.
Opportunities
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Implement Climate Action
Type
Risk/Opportunity
Description
Potential Financial
Impact
Impact Time
Horizon
Response Measures
•Consumer preferences and
needs are constantly
changing.
•The market has higher
requirements for
products, and we may
face more competitive
pressure.
•Adhere to our sustainable
development concept,
optimize the level of
production technology, in
order to provide better
quality products to meet the
needs of the market and
consumers.
Medium-term
Long-term
Market
•The update and iteration of
emerging technologies may
result in investing more costs
in research and development
and training professionals.
•More resources are
needed for the low-car-
bon transition (such as
the use of low-carbon
energy and technology,
and the purchase of
low-carbon equipment).
•Optimize the technical
update of production bases
and expand the application
of our technical solutions,
replacing energy-and-pol-
lution-intensive petrochem-
ical processes with green
and clean biological
manufacturing techniques.
Long-term
Technology
•Failure by us to fulfill social
responsibilities and take
appropriate measures to
manage the potential
impacts of climate change
may affect the evaluation of
us by various stakeholders.
•Reduced revenue due to
reduced demand for
goods/services.
•Adhere to our sustainable
development concept,
conduct social responsibility
training within AHB and
take appropriate measures
to manage the impact of
climate change in a timely
manner.
Short-term
Medium-term
Reputation
•In the medium to long term,
improving energy efficiency
can lead to direct cost
savings for operations and
contribute to limiting global
carbon emissions.
•Reduce operating costs
and achieve cost
reduction and efficiency
improvement.
•Take measures to optimize
equipment and processes,
reduce energy waste, and
promote employee
participation in energy
conservation actions;
Promote the use of green
electricity.
Medium-term
Long-term
Energy
Sources
•Innovation and development
of low-carbon products and
services can improve market
competitiveness, such as
customers' preference for
more environmentally
friendly service providers or
products, and investors'
tendency to concentrate on
investing in green enterprise.
•Increase revenue by
meeting customer
demand for low emission
products and services.
•Promote the innovation and
upgrading of "synthetic
biology and animal
nutrition"; Accelerate the
low-carbon transition and
actively participate in
low-carbon construction;
Reduce packaging materials
and use biodegradable
materials.
Medium-term
Long-term
Products
and Services

Case
AHB Launched Product Carbon Footprint Reduction Training
In September 2025, AHB launched product carbon footprint reduction training covering five departments: Sales,
Procurement, R&D, Production, and Environmental Management. Taking an amino acid product as an example, the
training demonstrated the full life cycle carbon accounting process from raw materials to packaging. This training
laid a solid foundation for cross-departmental collaboration in product carbon footprint accounting and the formu-
lation of emission reduction implementation paths.
In November 2025, at the AIMG 2025 Anhui province Intelligent Manufacturing & Digitalization Annual Gala guided
by China Communications Industry Association, the HMOM Intelligent Management System independently built by
AHB won the "2025 Case Award for Green, Low-carbon and Sustainable Development in Intelligent Manufacturing".
The system covers two sections: environmental protection facility operation management and safety and environ-
mental compliance management. This award marks AHB's high recognition by the industry in refined green manu-
facturing, EHS (Environment, Health and Safety) digital management, and systematic sustainable development.
Product Carbon Footprint Reduction Training
Case
Case
Case
AHB Received the "2025 Case Award for Green, Low-carbon and Sustainable Development
in Intelligent Manufacturing"
Trophy for the 2025 Case Award for Green, Low-carbon and Sustainable Development in Intelligent Manufacturing
Case
In November 2025, AHB won the "ESG Carbon Neutrality Golden Bull Award" by virtue of AHB's outstanding practic-
es in environmental, social and governance (ESG) and firm commitment to carbon neutrality with remarkable results.
AHB Won the 3rd "Guoxin Cup · ESG Carbon Neutrality Golden Bull Award"
"Guoxin Cup · ESG Carbon Neutrality Golden Bull Award"
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Biogas-to-steam Project at Changfeng Base
Case
The Changfeng Base implemented the "Biogas-to-steam (0.5T) Workshop Heating Energy-saving Project" for anaerobic
biogas produced during the treatment of production wastewater. The biogas, originally safely vented, is purified and sent
to a biogas steam generator to produce saturated steam for workshop use. This not only avoids the greenhouse effect
caused by direct methane emissions but also significantly reduces the plant's carbon emission intensity by replacing fossil
fuel heating.
In 2025, AHB engaged external organizations to conduct a systematic organizational carbon inventory in compliance with ISO
14064-1:2018, covering both direct greenhouse gas (GHG) emissions and energy-related indirect greenhouse gas emissions.
Calculation explanation:
•The accounting of greenhouse gas emissions is based on the emission factor method. The emission factors selected for Scope 1 are derived
from the "2006 IPCC Guidelines for National Greenhouse Gas Inventories", while the lower heating values are obtained from the "China Energy
Statistical Yearbook (2022)", actual measurements by enterprises, or data provided by suppliers.
•The Scope 2 GHG emissions are calculated using market-based methodologies. The power sector emission factors are derived from Table
4 of the "2023 Power Sector Carbon Dioxide Emission Factors" published by the Ministry of Ecology and Environment, which presents the
national average carbon dioxide emission factors for electricity generation (excluding non-fossil energy electricity generated through
market-based transactions). The purchased heat supply emission factors are based on the "Guidelines for Greenhouse Gas Emission Account-
ing and Reporting for Enterprises in Other Industrial Sectors (Trial)".
•Total GHG emissions equal Scope 1 plus Scope 2 (market-based).
2025
Scope 1 GHG emissions
293,122.36 tCO₂e
Scope 2 GHG emissions
205,141.94 tCO₂e
Total GHG emissions
498,264.30 tCO₂e
GHG emission intensity
174.11 tCO₂e / million RMB revenue
Our independently developed anaerobic fermentation technology has successfully achieved industrialization breakthroughs,
subverting the dependence on traditional petrochemical routes. We have innovatively built a microbial cell factory using
renewable glucose as raw material, and through the large-scale production process of anaerobic fermentation, we have
achieved dual reduction of carbon footprint at the raw material source and in the production process, setting a green transfor-
mation benchmark for the biomanufacturing industry.
AHB actively adopts multi-dimensional carbon emission reduction measures. By continuously improving production processes
(such as optimizing separation and concentration processes, applying new boiler combustion technology) and comprehen-
sively upgrading production equipment (such as introducing magnetic suspension compressors, electric forklifts and national
first-class energy efficiency equipment), we have significantly reduced carbon emission levels. In terms of energy structure
optimization, we vigorously promote the green transformation of energy, through the construction of rooftop photovoltaic
power generation projects, the implementation of biogas and waste heat recovery and utilization, and the development of
green power transactions, etc., to greatly increase the proportion of clean energy use.
Carbon Emission Reduction Measures
Optimize Resource Recycling
AHB has established a sound governance system for energy management. We have set up a special energy management team
with a clear centralized management department (Production Department). The senior management (General Manager) leads
the energy management work in an all-round way, approves and issues the energy policy, objectives and management plans,
and regularly hosts management reviews to ensure the effectiveness of the energy management system. We have established
an institutionalized information communication and reporting process. The energy management team is required to report the
system operation and energy performance to the top manager in accordance with regulations, and through fixed mechanisms
such as monthly assessment, internal audit and annual management review, ensure that the governance agency can obtain
energy management information in a timely and accurate manner.
Energy Management
Monthly energy statistical statements and assessment results of energy performance parameters.
Internal audit reports and management review reports.
Special meetings, minutes, briefings and other internal information exchange carriers.
Regular energy management system performance reports.
Annual Energy Management Performance Evaluation Report and Compliance Evaluation Form.
Methods for Obtaining Energy Management Information:
01
Data Collection
Each department monitors daily energy targets and indicators, implementation of management
plans, energy performance parameters, and energy consumption of major energy uses in
accordance with responsibilities, and summarizes and reports data to the Production Depart-
ment monthly.
02
Statistics
and Analysis
The Production Department summarizes AHB's energy statistical ledger, inspects and assesses
the completion of each department, and feeds back the evaluation results to all departments.
03
Performance
Report
The management representative regularly reports the operation performance and energy
performance improvement of the energy management system to the General Manager.
04
Management
Review
The General Manager organizes at least one management review every year. The Production
Department prepares the Management Review Plan, and relevant units submit written input
documents (including energy performance data, audit results, compliance evaluation, follow-up
of previous measures, etc.). The management review meeting comprehensively evaluates the
energy management system and issues the Management Review Report after review by the
management representative and approval by the General Manager.
Energy Management Information Acquisition Process:
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ISO 50001 Energy Management
System Certification of AHB
AHB Green Electricity Certificate Transaction Vouchers
Three production bases under AHB have passed the ISO 50001
Energy Management System Standard Certification, and issued a
series of norms such as Energy Management Manual and Imple-
mentation Management Measures for Energy Conservation and
Resource Conservation.
Energy Management System Certification
Energy Conservation and Emission Reduction
Energy-saving Measures at Changfeng Base
Improve the separation and concentration process to significantly reduce steam consumption.
Upgrade workshop air compressor equipment for fermentation by replacing conventional screw-type compressors with
high-efficiency magnetic levitation compressors.
Optimize the variable frequency control system of water pumps to improve overall energy efficiency at production bases.
Construct photovoltaic power generation systems and biogas boiler facilities to supply clean electricity and realize efficient
recovery and utilization of biogas resources.
Phase out all diesel-powered forklifts and complete the green transition to zero-emission electric forklifts.
Energy-saving Measures at Chifeng Base
Optimize building orientation and spacing to leverage natural ventilation and daylight via architectural design and cut
building energy consumption.
Adopt new high-efficiency energy-saving MVR (Mechanical Vapor Recompression) evaporators.
Apply high-performance thermal insulation materials for heat exchangers and high/low-temperature pipelines.
Deploy high-yield fermentation strains in production to boost fermentation acid conversion rate and unit yield, saving
energy and raw materials.
Prioritize procurement of motors, water pumps, transformers, fans and air compressors that meet National Class I energy
efficiency standard.
Energy-saving Measures at Bayannur Base
Utilize biogas generated from wastewater treatment stations as boiler fuel via burners; biogas and waste heat recovery
projects help substantially cut coal and steam consumption.
Scale up new-energy power adoption to displace partial coal-fired energy consumption.
Complete installation of 3.1MW photovoltaic facilities, which generated 1,457.76 MWh of electricity in 2025.
Replace legacy motors with high-efficiency energy-saving alternatives.
Energy-saving Measures at Qinhuangdao Base
Launch the construction of a biomass combined heat and power project equipped with a 4.5MW steam turbine, matching
generator sets and electrical equipment. Generated power is supplied to the whole plant via the Phase III high-voltage
power distribution room, with an estimated annual power output of 20.3849 million kWh. A supporting heat supply pipeline
network is built simultaneously to cover a heating area of 6,800 square meters.
Recover and reuse waste heat from production processes via plate heat exchangers, achieving a waste heat recovery rate
exceeding 90%.
Adopt high-low differential speed circulating fluidized bed boiler combustion technology to improve fuel efficiency and cut
operating costs.
Carry out technical transformation of the air compressor system.
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AHB attaches great importance to the application of clean and
renewable energy. We have laid out photovoltaic power genera-
tion projects in Changfeng Base, Qinhuangdao Base and Bayannur
Base, and systematically promoted the development and utilization
of solar energy resources. At the same time, all four production
bases actively participate in Green Electricity Certificate transac-
tions, covering wind power generation and solar power generation.
Through the large-scale use of green power, We have significantly
reduced the environmental impact of energy consumption, and
effectively improved our own green competitiveness and sustain-
able development level.
Clean/Renewable Energy Use

Indicators and Targets
Target
Comprehensively introduce clean energy and
finally realize 100% green electricity supply.
Progress in 2025
Photovoltaic power generation projects have
been carried out at Changfeng, Qinhuangdao
and Bayannur bases, among which the Qinhuan-
gdao base has achieved both 100% green
electricity coverage and 100% steam supply
sourced from biomass fuels.
Note: The low calorific value of various energy types and the conversion coefficient of standard coal in the calculation formula
of comprehensive energy consumption are derived from China Energy Statistical Yearbook and General Principles for Calcula-
tion of Comprehensive Energy Consumption GB/T 2589-2020.
AHB has established a Water Conservation Leading Group directly managed by senior management, with a Water Conserva-
tion Office affiliated to the Equipment and Energy Department, and each department is responsible for the implementation of
water conservation work.
We are committed to promoting the conservation and efficient use of water resources, continuously improving the water
resource management system, formulating Enterprise Water Use Management System, Water Conservation Management
System and Water Conservation Management Quota Reward and Punishment System. By implementing total water use
control, refining water use plans, and decomposing water conservation objectives and tasks level by level to relevant depart-
ments and workshops, and supporting the establishment of incentive and restraint mechanisms, we fully mobilize the enthusi-
asm of employees to participate in water conservation management. The water conservation competent department of AHB
regularly counts, analyzes and publishes the water use and water conservation status of each department. Each department
shall submit the annual water use and water conservation statistical report of the previous year to AHB before January 1 of
each year, and the semi-annual water use and water conservation statistical report before June 30 of each year.
AHB actively promotes the establishment of water-saving enterprises and has successfully obtained the certification of "Anhui
Province Water-saving Enterprise".
Water Resource Management
Water Resource Management Structure
AHB focuses on substantial water resource risks and conducts risk identification via the Aqueduct Water Risk Assessment Tool
developed by the World Resources Institute (WRI). All our production bases are located in regions with high or extremely high
baseline water stress. Given long-term variations in regional precipitation patterns, natural evolution of groundwater resourc-
es, and extreme weather events driven by climate change, we need to continuously coordinate efforts to ensure the security
of industrial water supply. None of our operation sites are near water source areas, and water resources are mainly from
municipal water supply. We continuously optimize the comprehensive management of water resources. By formulating the
production process water system management regulations and promoting process transformation, we have innovatively
developed and applied water-saving process technologies such as wastewater evaporation, condensed water reuse,
reclaimed water reuse and fermentation circulating water reuse.
Water Resource Management Initiatives
Fourth-stage
Circulation
Third-stage
Circulation
First-stage
Circulation
Second-stage
Circulation
Reuse of fermenter
cleaning water
Recovery of primary
condensate to boiler
system
Closed-loop operation
of process cooling
water
Reuse of evaporated
condensate after
high-temperature
membrane treatment
"Four-stage Water Hierar-
chical Utilization" Model
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2025
Coal
162,364.03 tons
Direct
Energy
Total direct energy consumption
146,481.12 tce
Total indirect energy consumption
64,368.04 tce
Total comprehensive energy consumption
210,849.16 tce
Comprehensive energy consumption intensity
73.68 tce / million RMB revenue
Clean energy consumption
52,290.94 tce
Natural gas
2,750,924.00 m³
Liquefied petroleum gas
15.06 tons
Diesel
158,667.49 liters
Gasoline
33,367.10 liters
Biomass fuel
46,559.16 tons
Purchased electricity (non-renewable energy)
322,450.18 MWh
Indirect
Energy
Purchased electricity (renewable energy)
176,339.54 MWh
Self-used on-site green power
3,049.66 MWh
Steam
78,897.35 GJ
Be responsible for implementing national water-saving policies, establishing a sound
water-saving management system, approving water-saving plans, supervising implementa-
tion, and administering rewards and penalties.
Water Conservation
Leadership Group
Be responsible for formulating water conservation plans and annual plans, developing
management systems, organizing and convening water conservation work meetings, and
overseeing technical renovation projects, etc.
Water
Conservation Office
Implement AHB's water conservation systems and plans, organize labor competitions for
water saving and consumption reduction, strengthen equipment maintenance and
optimized operation, and conduct water conservation inspections and indicator analysis, etc.
Water Conservation
Working Group

AHB has built a green circular system covering the whole life cycle of "raw materials-production-application-recycling", driving
resource value reshaping through technological innovation. From agricultural waste to end products, we expand the depth
and scope of circular utilization driven by technological empowerment to revitalize various resources within a closed-loop
system.
Circular Economy
2025
Total water withdrawal
4,764.29 million liters
Total water consumption
350.36 million liters
Water consumption intensity
0.12 million liters / million RMB revenue
2025
Volume of waste recycled and reused3
6,445.44 tons
3 The main types of recycled waste include used packaging bags, fine ash, and scrap materials.
Case
Water-saving Measures at Bayannur Base
• During construction, rationally construct according to the site conditions to avoid damage to water resources.
• Adopt various automatic control and regulation measures and formulate water consumption plans to rationally
conserve process and domestic water.
• Install water-saving sanitary fittings; ban cast-iron valves and spiral-lift faucets while popularizing ceramic-sealed
faucets.
• Select cost-effective pipes and equipment for water supply and drainage networks, and conduct regular mainte-
nance on facilities and pipelines to prevent water leakage and eliminate water waste fundamentally.
Case
Improved the Long-term Mechanism of "Repair and Reuse of Waste Materials"
AHB fully implements the circular economy philosophy
and integrates the 3R principles of Reduce, Reuse and
Recycle into the entire production and operation
process to systematically roll out full-lifecycle manage-
ment of equipment and supplies. We have established
and refined a long-term mechanism for "repair and
reuse of waste materials". Through technical resto-
ration, component reassembly and functional remodel-
ing, the enterprise reintroduces idle or scrapped equip-
ment and materials into production cycles, effectively
extending resource service life, cutting raw material
consumption and reducing waste generation.
Polishing, Cutting, and
Reusing Stainless Steel Pipes
Repair of the Explosion-Proof
Electric Adjustment Actuator
We innovatively adopt agricultural residues including straw and corn cob as feedstock to
develop a conversion route of “biomass–amino–acid–high-value–materials”. This
approach cuts arable land occupation, raises farmers’ income and lessens reliance on
petrochemical resources.
Raw Material
We launch water-saving initiatives such as intermediate water reuse, condensate recov-
ery and fermented circulating water recycling. Rooftop photovoltaic installations lift the
proportion of renewable power intake and enable high-efficiency circular utilization of
energy and resources.
Production
Our bio-based material monomers, including L-alanine and 1,3-propanediol manufac-
tured via biological processes, are produced from renewable biomass and widely applied
in sectors such as new chelating agents and new fiber materials. Looking ahead, we will
also collaborate with upstream and downstream enterprises across the industrial chain to
further drive the development of an industrial closed loop.
Application
We follow the 5R principles (Reduce, Reuse, Recycle, Recover, Responsibility). Source
reduction is realized via optimized packaging materials and upgraded production
processes. Partnerships with professional recyclers improve packaging recycling rate and
build a full-life-cycle green packaging system covering design, manufacturing and waste
disposal.
Consumption
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Environmental Management
To fully fulfill environmental responsibilities, the Company has set up an EHS (Environment, Health and Safety) Center
to conduct comprehensive control over waste gas, wastewater and waste. Guided by the Board of Directors’ strate-
gies, the General Manager is tasked with formulating and implementing management policies and targets, rationally
arranging management departments and allocating sufficient supporting resources. The Management Team rigorous-
ly enforces various environmental management policies. By shrinking ecological footprint, boosting resource utilization
efficiency and cutting emissions of three types of industrial wastes, we strive to realize harmonious coexistence
between corporate development and ecological protection.
Governance
Decision-making Level: EHS Committee
Composed of our EMT (Executive Management Team) members, key principals of each production base, the headquar-
ters EHS Center, employee representatives, and other relevant personnel. The core responsibilities are to hold EHS
meetings every six months, review the implementation and performance of the EHS management system, and make
overall decisions and arrangements on major EHS matters, response measures for critical regulations, and rectification
of major hidden dangers.
Management Level: EHS Center
As the core management and supervision department for environmental affairs, it is mainly responsible for the formula-
tion, revision and improvement of environmental management systems, and conducts comprehensive supervision over
environmental management work such as waste gas, wastewater, solid waste and chemicals at all production bases.
Execution Level: Functional Departments of the Group and Production Bases
The EHS Department of each production base comprehensively coordinates the compliant control of pollutants such as
waste gas, wastewater and solid waste, as well as the supervision of environmental protection facility operation. It is
also responsible for the full life cycle supervision of chemicals, the development of emergency response systems, and
the environmental assessment and review of new projects. All other functional departments (including production,
equipment, administration, procurement, warehouse, quality and other departments) shall cooperate to strictly imple-
ment environmental management requirements for waste gas, wastewater, solid waste and chemicals into their respec-
tive specific business processes.
By the end of the reporting period, our four major production bases have fully passed GB/T 24001-2016/ISO
14001:2015 Environmental Management Systems Certification, achieving 100% certification coverage.
AHB strictly abides by environmental protection laws and regulations represented by the Environmental Protection Law
of the People's Republic of China, and has formulated and improved a complete set of internal environmental manage-
ment systems, including the Rules of the EHS Committee, the Administrative Specifications for EHS Rewards and
Penalties, and the Control Procedures for Identification, Evaluation and Management of Environmental Aspects.
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AHB Environmental Management System Certification
Protect Ecological Balance

Prevent and control pollution and
hazardous sources, reduce
pollutant emissions, and prevent
the occurrence of related
accidents.
Carry out internal environmental
protection and green publicity and
education, and deepen the
concept of green office.
Strictly abide by national and
local laws and regulations, and
conduct environmental manage-
ment in accordance with internal
formulated procedures.
Reduce energy consumption,
conserve resources, and promote
resource recycling and reuse.
Environmental Protection Policy
Centered on the Triple Zero (Zero Carbon Emission, Zero Waste, Zero Petrochemical Resource) strategic goals, we advance
sustainable development across our full value chain. By accelerating the deployment of zero-carbon technologies, circular
economy initiatives and renewable energy solutions, we actively drive the industrial transition toward circular, integrated and
sustainable long-term growth.
Strategy
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• Zero Carbon Supply: Establish a data management platform for digital and intelligent supply
chain, integrate green procurement into the process of raw material and equipment procure-
ment, and require all supply chain partners to meet ISO 26000 standards in the next step, and
provide guidance to promote continuous improvement.
• Zero Carbon Factory: By 2025, 2 bases have been recognized as National Green Factory, and 1
base has been recognized as Autonomous Regional Green Factory. In the future, we will continu-
ously optimize the underlying biotechnology and processes, increase the application of anaero-
bic fermentation technology, and commit to fully eliminating carbon dioxide emissions from the
production process of all products.
• Zero Carbon Logistics: Integrate electric logistics trucks, electric forklifts and electric ships into
the whole process of logistics system from raw material purchase to product delivery, and plan
to increase the construction of green logistics infrastructure, and finally achieve a development
mode of net zero carbon emission.
• Circular Economy: By recycling and fermenting yeast liquid, fermented biomass, etc., it can be
transformed into efficient green fertilizer products and reused in the growth of renewable raw
materials such as corn. In the future, we will strive to achieve 100% recycling.
• Sustainable Water Resources: Innovate and develop water-saving technologies such as waste-
water evaporation, condensate reuse, reclaimed water reuse and fermentation circulating water
reuse, implement sustainable water resource management in all related production bases, and
the recycling rate of process wastewater reaches more than 90%.
• Recyclable Materials: In cooperation with sustainable packaging solutions companies, we will
increase the proportion of green packaging materials that can be reused or degraded year by
year, and recycle and utilize the packaging of each customer's order.
• Lean Production: Since 2023, WCM (world-class manufacturing) has been implemented in all
production bases to build a world-class smart factory and move towards the goal of zero
accidents, zero failures, zero short stops, zero complaints and zero defects.
• Renewable Raw Materials: AHB's products are all made from renewable resources such as corn,
and it has set a grand goal of producing more than 50% of its products from non-grain carbon
source renewable raw materials.
• Green Electricity: Green electricity and green-certificate transaction has been carried out in four
bases. Since 2022, rooftop photovoltaic power generation construction projects have been
gradually launched in each base. In the future, solar energy, wind energy and other green power
sources will be fully introduced to achieve green electricity supply.
• Biomass Fuel: The Qinhuangdao base takes the lead in fully replacing petrochemical fuel with
biomass fuel, including heating and gas supply. In the future, the use of biomass fuel will be
promoted in all bases.
Environmental
Strategic Goals
Contents
Zero
Carbon Emission
Zero
Waste
Zero
Petrochemical
Resource

•Environmental Factor Identification
In the construction and operation of the environmental management system, AHB always takes the identification and evalua-
tion of environmental factors as the cornerstone of risk prevention and control. In accordance with the provisions of our
Environmental Factor Identification and Evaluation Management Procedure, we have established a dynamic identification and
evaluation mechanism covering the entire group. The system requires all departments to start from the entire life cycle from
raw material acquisition to finished product delivery and scrapping, comprehensively consider the time dimensions of "past,
present and future" and the state dimensions of "normal, abnormal and unexpected", and comprehensively check eight types
of environmental impacts including air emission, water pollution, waste management and energy resource consumption. On
this basis, through quantitative evaluation rules, we accurately screen out the major environmental risks that need to be
focused on, and formulate special control measures accordingly, and dynamically update them every year or when major
changes occur, ensuring the systematic, scientific and effective environmental management.
•Actively Respond to Environmental Regulation
AHB always regards paying taxes in accordance with the law and operating in compliance as the cornerstone of the steady
development of the enterprise, and strictly complies with the national and local laws and regulations on environmental protec-
tion taxes and fees. AHB has established a sound tax compliance management system to ensure accurate accounting, timely
declaration and full payment of environmental protection tax and other related taxes and fees. In 2025, AHB paid 760,400 RMB
for environmental protection tax and 1,183,500 RMB for water conservancy fund. All environmental-related taxes and fees
were paid in accordance with laws and regulations, truly reflecting the performance of environmental responsibilities in the
production and operation process.
•Environmental Emergency Management
AHB strictly follows national relevant laws and regulations such as the Emergency Response Law of the People's Republic of
China and the Measures for the Record Management of Emergency Plans for Sudden Environmental Events of Enterprises and
Institutions (Trial), and closely combines with AHB's own operation reality, and has comprehensively revised and optimized the
Emergency Plan for Sudden Environmental Events. Focusing on environmental protection, the plan focuses on specific risk
scenarios such as methanol tank leakage, leakage of hazardous chemicals and liquid materials, and natural gas leakage, and
has formulated highly targeted special response measures.
To ensure the efficient implementation of the plan, we have built a complete emergency response system, specially set up an
emergency work leading group and office, to ensure that personnel can quickly assemble, rescue and aftermath work can be
efficiently promoted in an emergency. Once a sudden environmental event occurs, we will immediately launch the emergency
monitoring mechanism of professional institutions, quickly find out the cause of the accident; at the same time, synchronously
launch the environmental restoration plan, through the formulation and implementation of scientific restoration plans, to
minimize the impact on the ecological environment, and effectively protect the safety of the enterprise and the surrounding
community.
Impacts, Risks and Opportunities Management
Emergency Command Center
Emergency
Commander
Level III
Commander
Answering alarm
Level I events
(Social level)
Level II events
(Enterprise level)
Level III events
(Workshop level)
To effectively improve the level of environmental emergency management, AHB has built an emergency training and drill
system, supported by a clear reward and punishment incentive mechanism, fully mobilizing the enthusiasm of employees to
participate in emergency management. Through regular simulation actual combat drills for various sudden environmental
events, we not only effectively tested the scientificity and operability of the emergency plan, but also comprehensively
tempered the employees' rapid response capability and cross-departmental collaborative operation level in emergency
situations.
•Green Manufacturing
The Changfeng Base carried out cleaner production audit in accordance with government requirements, put forward 17 clean-
er production programs and implemented all of them, and has completed the cleaner production acceptance of the Depart-
ment of Ecology and Environment of Anhui Province.
We actively create green factories. As of the end of the reporting period, three production bases have obtained Green Factory
Certification, among which Changfeng Base and Qinhuangdao Base have won the National Green Factory title, and Bayannur
Base has won the Autonomous Regional Green Factory title.
•Green Office
AHB continuously carries out employee environmental protection theme publicity and education activities, systematically
popularizes green and low-carbon concepts, and strives to build a low-carbon, healthy, safe and dynamic modern office
environment. AHB actively promotes digital transformation, relies on the intelligent office platform to promote efficient internal
and external collaboration, vigorously promotes the online video conference mode, effectively reducing carbon emissions
caused by business trips and offline meetings; at the same time, the implementation of the financial electronic file management
system has significantly reduced paper resource consumption, empowering employees to practice low-carbon office concepts
in all aspects.
National Green Factory
of Changfeng Base
National Green Factory of
Qinhuangdao Base
Autonomous Regional Green Factory of
Bayannur Base
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Resource Conservation
• Promote paperless office
• Practice the "Clear Plate Campaign"
• Do not provide disposable cutlery
voluntarily
• Use water-saving faucets
Energy Conservation
• Install solar-powered air condi-
tioners in office buildings
• Intelligently adjust the temperature
of office areas
• Use energy-saving LED lighting
fixtures
Green Commuting
• Provide shuttle buses for employ-
ees to commute to and from work,
reducing carbon emissions from
employees' travel.

Wastewater Management
In accordance with the Chemical Safety Management Specification, AHB has built a chemical compliance management system
covering the entire life cycle, ensuring that every link from introduction, procurement, transportation, storage to use and waste
disposal is controlled and traceable.
AHB strictly implements the new chemical safety assessment and approval process, follows the order and principle of
"non-toxic, risk-free, controllable, governable, low-toxic, low-risk, difficult to control, difficult to govern", and implements strict
license and filing management for special chemicals such as precursor chemicals and explosive precursors. In the storage and
use link, AHB implements the requirements of classified zoning and quantitative storage, ensures that all workplaces are
equipped with complete safety technical specifications and safety labels, and provides employees with adaptive personal
protective equipment and emergency supplies.
In addition, we regularly organize hidden danger investigation, and through institutionalized training and practical drills,
continuously improve employees' awareness of chemical hazard and emergency response capabilities for accidents such as
sudden leakage and fire, effectively ensuring employee health, production safety and environmental compliance.
Chemical Safety Management
Closely aligning with national environmental protection laws and regulations and the actual situation of business operations,
AHB continuously revises and improves a series of pollutant control systems such as Waste Gas Management System and
Wastewater Control Procedure of Wastewater Station. By continuously strengthening the pollutant emission control through-
out the operation process, AHB strictly ensures that all indicators such as wastewater, waste gas and noise meet the national
and local emission standards.
Pollutant Management
Case
Hazardous Chemical Leakage Emergency Drill
In May 2025, AHB conducted a full-scale emergency drill for hazardous chemical leakage. The drill simulated a
scenario where a forklift collision triggered hazardous chemical leakage and subsequent personnel poisoning. AHB
immediately activated the plant-level emergency plan. All teams worked in efficient coordination and completed a full
set of responses including leakage containment, first aid treatment, sewage interception and traffic control. The
post-drill review identified areas for improvement in the dilution treatment process. In response, AHB has rolled out
targeted special training programs to further strengthen frontline employees' practical operational skills and safety
awareness, and effectively upgrade the team's collaborative emergency handling capabilities.
Wastewater
Monitoring
Each production base is equipped with a complete wastewater treatment station, and introduces a
real-time online monitoring system and abnormal early warning mechanism to monitor various water
quality indicators around the clock, ensuring that wastewater discharge is fully compliant throughout the
process.
Wastewater
Treatment
Relying on data-driven and equipment technological transformation, we continuously optimize the
treatment process. On the premise of ensuring that the effluent quality fully meets the standards and is
uniformly discharged into the pipe network, we effectively reduce the dosage of chemical agents through
precise control, preventing the risk of secondary pollution from the source. In 2025, all our wastewater
pollutants were discharged up to the standard, and no violations related to water quality permits,
standards, or regulations occurred.
Source
Reduction
We have comprehensively upgraded the water pollution prevention and control system, committed to
improving the water resource recycling rate to reduce the total wastewater discharge. Each base,
combined with its own production characteristics, implements refined management in the links of source
reduction, process control and end treatment, and fully realizes the efficient use of water resources and
the standard discharge of wastewater.
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By continuously optimizing the environmental protection and sudden environmental event emergency management system,
AHB successfully achieved the goal of "zero occurrence" of environmental accidents throughout the year.
Indicators and Targets
Target
Progress in 2025
Zero major environmental accidents
Achieved
2025
Environmental investment
37.28 million RMB
Proportion of environmental protection
investment in operating revenue
1.30 %
Amount of major administrative penalties
imposed by ecological and environmental
authorities due to environmental incidents
0 RMB
Percentage of employees trained
on specific environmental issues
88 %
Percentage of operational sites with ISO 14001
Environmental Management Systems Certification
100 %
Percentage of operational sites with
specific environmental risk assessments
100 %

Emission
Monitoring
AHB has established a strict waste gas control system, and regularly entrusts qualified third-party profes-
sional institutions to conduct compliance monitoring on the atmospheric emission concentration of the
production bases. Through precise control of monitoring data, we can grasp the dynamics of waste gas
emission in real time, and dynamically adjust and optimize the production process accordingly, reducing
the impact on the surrounding environment from the source.
Non-hazardous
Waste
Mainly including general industrial solid waste such as sludge and ash residue as well as daily domestic
waste. In strict accordance with the requirements of the Solid Waste Management System, we implement
centralized standardized management of the above wastes, and uniformly entrust local environmental
protection departments and qualified third-party institutions to conduct compliant transfer and harmless
disposal.
Hazardous
Waste
We continuously strengthen the internal control mechanism to prevent harmful wastes such as waste
engine oil, waste paint buckets, laboratory waste liquid and hazardous chemicals from polluting the soil
environment. We have set up a hazardous waste storage room. All harmful wastes are strictly entrusted
to legally qualified third parties for final disposal, and are supervised by local environmental protection
departments throughout the process. In addition, to ensure that front-line employees strictly comply with
laws, regulations and environmental protection requirements in the process of hazardous waste
treatment, we regularly organize special compliance training to comprehensively improve employees'
awareness and ability of environmental protection operations.
Waste Gas
Treatment
We are fully equipped with advanced environmental protection facilities such as bag dust collectors,
desulfurization towers and SCR (Selective Catalytic Reduction) denitration facilities, using cutting-edge
exhaust gas treatment technology to deeply purify nitrogen oxides, sulfur oxides and particulate matter
generated in the production process, minimizing the emission of pollutants and ensuring that waste gas
is discharged up to the standard.
Waste Gas Management
AHB has formulated and strictly implemented a series of waste management specifications such as Solid Waste Management
System, and implemented refined classification, transfer and disposal standards for different types of waste, ensuring that all
wastes are harmlessly treated and completely eliminating environmental hidden dangers. At the same time, we fully launched
the "Solid Waste Whole Life Cycle Management Platform", implementing digital closed-loop supervision of the whole process
of various solid wastes from generation, storage, transfer to final disposal. In 2025, the compliance disposal rate of our waste
reached 100%.
Waste Disposal
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2025
Total wastewater discharge
4,413.93 million liters
Wastewater discharge intensity
1.54 million liters / million RMB revenue
Total discharge of pollutants in water
576.94 tons
Chemical oxygen demand (COD)
336.58 tons
Total phosphorus (TP)
10.90 tons
Ammonia nitrogen (NH₃-N)
9.99 tons
Biochemical oxygen demand (BOD₅)
128.51 tons
Total nitrogen (TN)
90.95 tons
2025
Nitrogen oxides (NOX)
159.87 tons
Sulfur oxides (SOX)
128.42 tons
Particulate matter (PM)
75.67 tons
Volatile organic compounds (VOCs)
8.63 tons
2025
Total amount of non-hazardous waste discharge
95,715.64 tons
Non-hazardous waste discharge intensity
33.45 tons / million RMB revenue
Total amount of hazardous waste discharge
62.68 tons
Hazardous waste discharge intensity
0.02 tons / million RMB revenue
Target
Progress in 2025
100% compliant disposal rate of solid waste
Achieved

AHB attaches importance to ecological protection and deeply integrates ecological concepts into the whole process of enter-
prise development. In the early stage of project planning, we simultaneously carry out environmental impact and biodiversity
assessment, strictly abide by the ecological protection red line, ensuring that operation activities are in harmony with the
regional ecological environment and develop in compliance. We actively practice ecological responsibilities, and signed the
Cooperation Agreement on Wildlife Protection Public Welfare Activities with Hanggin Rear Banner Forestry and Grassland
Bureau to systematically promote a number of biodiversity protection work.
Ecosystem and Biodiversity Protection
Habitat Maintenance
Every year, AHB organizes employees to go to Tushenze Wetland Park to regularly clean up wetland garbage in
the river channel and surrounding forest areas, continuously improving the habitat conditions of wild animals.
Species Protection
Innovatively set up the "AHB Wildlife Protection Studio", providing professional temporary rescue and conserva-
tion for wild animals that are injured or trapped in the wild and need help.
Research Support
Equipped with professional field observation equipment, we actively cooperate with the competent authorities
to carry out regional biodiversity surveys, providing scientific basis for ecological governance.
Public Education
Combined with activity nodes such as "World Wildlife Day" and "Bird Week", we continuously carry out ecological
science popularization publicity, and advocate the environmental protection concept of harmonious coexistence
between human and nature through exhibitions and distribution of science popularization manuals.
Case
AHB's Special Action for World Earth Day
In April 2025, AHB launched the "Under the Wings, Life Thrives" bird protection activity at Tushenze Wetland, an
important ecological node of the Yellow River Basin. We also jointly established the "Tushenze Wetland Protection
Station" with the Hanggin Rear Banner Forestry and Grassland Bureau. AHB's volunteers went deep into the wetland
to clean up plastic pollution and restore the habitat for migratory birds. In the future, the Protection Station will
systematically carry out work such as habitat restoration, ecological monitoring and public education, to build an
ecological co-governance model of "technology enterprise + local government".
World Earth Day Activity
Tushenze Wetland Joint Protection Station
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2025
Environmental, Social and Governance (ESG) Report

Craftsmanship Products
Create Outstanding Quality
03
•Ensure Product Safety
•Prioritize Sustainable Products
•Promote Research and Innovation
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Environmental, Social and Governance (ESG) Report
SDGs Aligned with This Chapter

AHB regards product quality and safety as its lifeline. We have established the Quality Center, alongside a standardized
management team and a clear responsibility framework. Adhering to the principles of transparency, accountability and
continuous improvement, we exercise strict control over the entire product production process.
In compliance with national and international standards and in light of its actual business conditions, AHB has built a sound
management system covering quality, food safety and feed safety. A series of rules and regulations on product quality and
safety have been developed and enforced, including Food Safety Management Specifications, Food and Feed Safety Protec-
tion Plan, Raw Material Acceptance Management Specifications, Non-conforming Product Management Specifications,
Product Release Management Specifications and Change Management Specifications. These measures ensure rigorous
control over every link from raw materials to finished products, enabling AHB to deliver safe and reliable products to custom-
ers. Meanwhile, we keep promoting the optimization and upgrading of the corporate quality management system.
During the reporting period, in accordance with requirements specified in GB/T 19001-2016 idt ISO 9001:2015 Quality
Management Systems—Requirements, ISO 22000:2018 Food Safety Management Systems—Requirements, CNCA/CTS
0020-2008A (CCAA 0014-2014), BRCGS Global Standard Food Safety (Issue 9), FAMI-QS European Feed Additives and
Pre-mixtures Quality System and EFFCI GMP 2017, we revised the A16 Edition of Management Manual for Quality, Environ-
ment, Occupational Health and Safety, Food Safety, Feed Safety and Cosmetic Raw Materials and related procedural docu-
ments. By continuously refining and improving the management system, we ensure the consistent delivery of products that
satisfy customer demands and comply with applicable laws and regulations.
By the end of the reporting period, AHB has obtained the GB/T 19001-2016/ISO 9001:2015 Quality Management System
Certification. Some of our cosmetic raw materials have passed the EFFCI GMP Certification. In addition, our product quality has
been recognized by other international organizations, including CNAS Laboratory Accreditation, REACH (Registration, Evalua-
tion, Authorization and Restriction of Chemicals) Certification and COSMOS (Cosmetic Organic Standard) Certification.
Governance
Governance Structure and Responsibilities
Food Safety Protection Team
Implement quality management objectives and management plans, and conduct
monitoring and inspection of product quality.
Quality Departments
at each production base
Formulates our quality policy and quality management objectives, and administers
relevant management plans.
Quality Center
•Food Safety Management
To prevent food safety incidents and safeguard food safety, each production base has set up a Food Safety Protection Team
with clearly defined responsibilities for staff at all levels. Tailored to our respective production workflows and technical process-
es, we have formulated the Food and Feed Safety Protection Plan to minimize risks of intentional contamination and sabotage
of food products.
By the end of the reporting period, AHB has obtained the ISO 22000 Food Safety Management System Certification. Our prod-
ucts have also been awarded BRCGS Food Safety Certification, KOSHER Certification, Halal Certification and FAMI-QS Feed
Safety Certification.
Quality Management
System Certification
IQNET Certificate of
Quality Management System
EFFCI GMP Certification
General Manager
Laboratory
Supervisor
Procurement
Specialist
Warehouse
Supervisor
Quality
Department
Manager
QA (Quality
Assurance)
Specialist of
Quality
Department
Administration
Department
Manager
Production
Department
Manager
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Ensure Product Safety

During the reporting period, AHB successfully underwent an unannounced inspection conducted by the U.S. Food and Drug
Administration (FDA) and passed with zero deficiencies. This fully demonstrates that our food safety management system,
production specifications and quality control have met stringent international standards, laying a solid foundation for our
global development strategy.
BRCGS Food Safety
Management System Certification
IQNET Certificate of Food Safety
Management System
HALAL Certification
FAMI-QS Certificate of Feed Safety
and Quality Management System
KOSHER Certification
We continuously improve our quality risk management system and establish a robust governance framework for quality risk
management. We embed a pre-assessment mechanism for quality and food safety at the early stage of product design, devel-
op tiered risk response plans, and transform our quality management model from post-incident remediation to proactive
prevention and active end-to-end control throughout the entire process. We implement a long-term strategy for tiered raw
material management and build a full-lifecycle supplier management system. Benchmarking against applicable regulations, we
have systematically developed a comprehensive internal control standard system that covers the entire chain of R&D, produc-
tion and finished product inspection, while planning for the iterative upgrading of testing capabilities in parallel. Meanwhile,
leveraging in-depth customer demand research, we map out customized product R&D roadmaps to precisely address diversi-
fied quality requirements and systematically consolidate the foundation for the long-term development of product safety.
Strategy
Type
Risk/Opportunity
Risk/Opportunity Description
Impact Time Horizon
Direct and Indirect
Quality Issues
•Risks such as returns, scrapping, and rework caused
by product quality issues.
•Problems arising from improper logistics/storage
conditions or package damage during product
transportation.
Long-term
Changes
•Changes in product raw and auxiliary materials,
packaging materials, production processes, formula-
tions, production sites and equipment, finished
products and packaging, testing standards and
methods, or laws and regulations may trigger
quality-related risks.
Long-term
Overseas Market
Compliance
•Customers in different countries are subject to
varying quality standards, leading to high certification
maintenance costs. Raised or adjusted quality
standards by customers may result in product quality
compliance risks.
Long-term
AI Technology
Empowerment
•Designing high-tolerance strains through AI to
reduce fermentation by-products, improve purity
stability, and minimize quality fluctuations at the
source.
Medium-to-long
term
Green and Low-Carbon
Products
•AHB's products feature strong low-carbon attributes
that align with the EU CBAM and US IRA (Inflation
Reduction Act) requirements. Both international and
domestic customers tend to prioritize the procure-
ment of low-carbon, high-quality products.
Long-term
Risk
Opportunity
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• Establish raw material acceptance
standards to ensure the quality
and safety of raw materials;
• Ensure that the temperature and
duration of storage and
transportation of raw materials
are appropriate;
• Auxiliary materials must comply
with relevant national regulations
and are permitted for use only
after passing inspection.
Impacts, Risks and Opportunities Management
•Quality Management Procedures
AHB maintains rigorous control over product quality, with every procedure from raw and auxiliary material incoming inspection
to production testing performed in strict accordance with established standards. Prior to production, equipment operators
inspect equipment status in compliance with the Equipment and Facilities Control Procedures to ensure all facilities meet
production requirements. During production, workshop supervisors conduct full-process supervision. Semi-finished and
finished products are tested strictly in accordance with the Product Monitoring and Measurement Control Procedures to
guarantee quality compliance. In case non-conforming products are found, we will dispose of them properly following the
Non-conforming Product Control Procedures, so as to consistently provide high-quality products to customers.
•Product Quality Training
We steadily advance the development of a professional quality talent team. We have established a complete quality training
management system, improved the assessment mechanism for systematic quality training, formed an in-house lead instructor
team, integrated various training resources and built a dedicated knowledge base. We conduct systematic training on a regular
basis for relevant personnel including quality managers, physical and chemical inspectors, and microbiological inspectors. In
2025, a total of 51 training sessions were held, aggregating 75 hours with 2,857 participant-times. The training covered all
relevant positions in quality, inspection, production and other functions, with courses focusing on compliance systems, safety
regulations, on-site management and control, and instrument operation. The training is accompanied by a standardized
assessment procedure, with results recorded in the Training Implementation and Effectiveness Evaluation Records. These
efforts continuously strengthen the professional practical capabilities and quality control competencies of frontline personnel,
comprehensively consolidating the defense line for product quality control.
•Change Management
In view of change risks arising from customer and market demands, updates to laws, regulations and standards, technological
innovation, product optimization, cost reduction and efficiency improvement, production capacity expansion, renewal of quali-
fications and certificates, as well as supply chain adjustments, we have formulated the Change Management Specifications and
established standardized procedures. All changes that may affect product quality, EHS performance, product stability and
regulatory compliance are subject to identification, assessment, approval, implementation and notification. This ensures all
changes are carried out under effective control and relevant risks are minimized.
To ensure the effectiveness of the change control system, we conduct an annual review and audit of the system. Core assess-
ment indicators include timeliness of change processing, completion rate of action plans, post-change product quality trends,
deviations, complaints or recalls caused by changes, and findings from regulatory inspections. We continuously improve the
change control system based on the review and audit results.
•Product Recall Management
AHB always prioritizes customer health and safety. We strictly comply with the Product Withdrawal/Recall Management Speci-
fications to ensure recall procedures meet regulatory requirements and practical needs. In the event of batch non-conformities
or safety hidden dangers in products, we will immediately activate the recall procedure, coordinate across teams to fully
contain the affected products, and handle them in accordance with the Non-conforming Product Control Procedures. Even if
no actual recall is required, we conduct annual simulation exercises to verify the timeliness and effectiveness of the procedures.
Since 2025, there have been no product recalls or customer health and safety incidents at AHB.
Control of Raw and Auxiliary Materials
Process Control
Product Inspection
• Aseptic conditions are required for
biological processes;
• The chemical process requires the
control of the feeding order,
timing, temperature and pressure
conditions of the reaction.
• The production supervisor is
responsible for monitoring and
measuring the quality of the
product, and the relevant records
are kept by the Quality Department;
• Samples must be taken from each
batch of product in accordance
with sampling management
standards for testing and retention
purposes.
Division of Responsibilities for Product Recall Management
General Manager
• Approve withdrawal/recall
procedures
• Provide necessary resources
Marketing Center
• Execute customer recall
engagement procedures
• Arrange transportation of
recalled products
HACCP Team
• Evaluate product quality
• Analyze and correct the
causes of non-conformity
• Establish preventive measures
AHB has established standardized procedures to ensure that non-conforming raw materials, intermediate products,
semi-finished products, finished products, and packaging materials identified during production, inspection, storage,
and transportation are promptly and effectively identified, isolated, evaluated, disposed of, and documented. This
prevents the unintended use, release, or delivery of non-conforming products.
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•Customer Complaint Management
To standardize the management and assessment of customer quality complaints,
we have formulated the Customer Quality Complaint Assessment Management
Specifications. With the product quality complaint rate as the core assessment
indicator, we have built a collaborative management system involving the Quality
Center, Base Quality Departments, Finance Center, and Base Human Resources
Departments. The specifications standardize the process of complaint data source
verification, confirmation, adjudication, appeals, and assessment. Complaint assess-
ment indicators are incorporated into Key Performance Indicators (KPIs) and
decomposed to relevant departments and personnel, driving continuous improve-
ment in product quality and delivery management across all departments to reduce
complaint rates.
•Responsible Marketing
AHB has established the Product Labeling and Traceability Management Specifica-
tions, which clearly define the types of product labels, their usage methods, and
management responsibilities. During the reporting period, we revised this system
and added labeling requirements for material abnormalities. At each production
stage, we clearly record product and service information, including product name,
production date, batch number, quantity, and operators, to achieve full-chain trace-
ability. This ensures effective quality control, rapid traceability, and compliance with
regulatory and customer requirements.
In addition, we implement refined management of product and service labels to
ensure they are clear, standardized, and uniformly compliant with relevant laws and
standards. All finished product packages are printed with the product name and a
unique identification number, enabling traceable control for each bag. Key informa-
tion such as usage precautions, inspection seals, and Halal Certification is also
labeled to ensure complete and traceable product information.
We conduct regular QA routine inspections to discuss non-conformities, define
temporary corrective actions and preventive control measures, conduct ongoing
follow-up on rectification, and track the effectiveness of action completion.
Indicators and Targets
AHB has formulated annual quality objectives under the quality policy of Quality-oriented Development, Green & Health Focus,
Continuous Improvement and Customer Satisfaction. The performance of all objectives as of the end of the reporting period is
set forth below.
Indicator
Target
2025
Incidents of non-compliance concerning the quality
and safety impacts of products and services
Number of products recalled for quality and safety
reasons
Number of complaints due to quality and safety
reasons
Rate of quality complaints
First-pass yield rate
Food safety incidents
Transportation incidents
Critical Control Points (CCP) monitoring effectiveness
rate
Incidents of non-compliance concerning product and
service information and labeling
Incidents of non-compliance concerning marketing
communications
N/A
0
N/A
≤1.2%
≥99%
N/A
N/A
100%
N/A
N/A
0
0
27
1.18
97.27
0
0
100
0
0
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In the future, we will continue to optimize production paths in the following areas to reduce environmental pollution, improve
resource efficiency and reduce carbon emissions:
Clean Technology Opportunities
Product Carbon Footprint
•Fermentation Technology
L-alanine
As the world's first enterprise to achieve large-scale commercial production of L-alanine via microbial
anaerobic fermentation, AHB adopts renewable glucose to replace petrochemical feedstocks in this
process. No additional carbon dioxide is generated during fermentation. Compared with conventional
technologies, the production of one ton of L-alanine can cut carbon emissions by 0.5 tons. This technology
reduces the consumption of fossil resources and delivers substantial reductions in carbon emissions and
environmental pollution.
•Enzymatic Method
α-Arbutin
The enzymatic production process of α-Arbutin by AHB effectively addresses the common issues in
traditional processes, such as low enzyme activity, high extraction and purification costs, and high impurity
content, delivering a prominent leading technological edge. The green synthesis via enzymatic catalysis
operates under mild reaction conditions, eliminates the use of strong corrosive reagents and organic
solvents, and substantially reduces by-product generation and pollutant discharge. Meanwhile, we strictly
control harmful residues in products to establish an environment-friendly clean production system.
L-valine
Compared to aerobic fermentation, AHB's anaerobic fermentation technology for L-valine achieves lower
energy consumption, lower costs, and higher conversion rates, significantly enhancing production efficien-
cy and economic benefits. At the same time, this technology reduces carbon dioxide emissions, minimizes
environmental impact, promotes green manufacturing and sustainable development, bringing dual value
of environmental protection and economic benefits to the industry and society.
1,3-Propanediol
Traditional chemical methods for synthesizing 1,3-Propanediol mainly include the acrolein method and the
ethylene oxide method. The former is complex and involves highly toxic, flammable, and explosive materials,
while the latter requires high-temperature and high-pressure conditions, making it technically challenging
and costly. In contrast, AHB has utilized synthetic biology technology to construct a microbial cell factory
using glucose as the raw material. The fermentation process is mild, safe, and controllable, with a simple and
efficient procedure. Additionally, the raw material price is stable, further controlling production costs.
• Continue to optimize the biogas recovery device of sewage station, replace the traditional coal-fired
boiler with biogas boiler, and effectively reduce greenhouse gas emissions
• Optimize the pipeline design to realize the full recycling of waste heat and achieve energy saving and
emission reduction
• Optimize the material temperature control process, use preheated materials to reduce steam use, and
realize energy saving
• Optimize the air-condition temperature and humidity control in the production workshop, eliminate
backward equipment, and improve energy efficiency
• Increase the proportion of electricity generated from biomass and photovoltaic energy
• Continuous chromatography process is adopted to reduce energy consumption
• High and low differential speed circulating fluidized bed boiler combustion technology is adopted
• Conduct deep treatment on wastewater station discharge, reuse treated water in production and cut
process water costs.
• Optimize the production process, adopt the "Zero chemicals" scheme, and use circulating water as the
fermentation formula water, which reduces the frequency of shutdown cleaning of the circulating water
station and the amount of wastewater discharge
• Deploy recovery pumps to collect condensate water produced by evaporators, reuse such condensate
for other applicable production processes and achieve water conservation
Process
Optimization
Energy
Optimization
Water
Recycling
Clean
Fuel Substitution
AHB adheres to the scientific carbon reduction path of "exploring the bottom, identifying potential, implementing emission
reductions, and green transformation", continuously advancing the carbon footprint calculation and assessment of core prod-
ucts, conducting carbon footprint calculations for key products such as L-valine and β-alanine, scientifically quantifying their
lifecycle carbon impacts to precisely align with the coordinates of green development. In recent years, we have successfully
completed three rounds of carbon footprint certification for our L-alanine products, with the product’s carbon footprint regis-
tering a progressive decline across each round. Meanwhile, AHB integrates carbon management capacity building into organi-
zational capacity enhancement. By launching specialized training on product carbon footprint reduction with supporting
assessments, the initiative covers employees across the entire business chain. In 2025, a total of 2,269 person-times of employ-
ees participated, driving the deep integration of carbon footprint calculation methodologies and emission reduction concepts
into all operational links.
Case
L-Alanine Honored as Landmark Product in Bio-manufacturing by MIIT
Our core product, L-alanine, has been successfully selected into the first batch of the List of Landmark Product in
biomanufacturing issued by the MIIT. Leveraging our world's pioneering anaerobic fermentation technology, we took
the lead in realizing large-scale biomanufacturing of L-alanine. Compared with traditional chemical synthesis routes,
this technology boasts core advantages including simple process, low carbon footprint and high efficiency, achieving
an organic integration of economic and environmental benefits. Following the recognition as a National Single
Champion Product in Manufacturing, this selection further validates our national-level recognition, establishing it as
an industry benchmark product.
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Prioritize Sustainable Products
Centering on two core production technologies, namely fermentation and enzymatic synthesis, the AHB Research Institute
steadily expands AHB's product lineup in the field of synthetic biology and builds a cluster of core technologies for synthetic
biology applications. Leveraging the inherent advantages of clean biomanufacturing processes, none of our products contain
substances classified as hazardous to human health and the environment under Category 1 and Category 2 of the Globally
Harmonized System of Classification and Labelling of Chemicals (GHS). Green concepts are embedded throughout all links
from R&D and design to industrial-scale production, continuously consolidating the competitiveness of green products and
fully unlocking the sustainable value of clean technologies at the product end.

Innovation-Driven
AHB attaches great importance to technological innovation and R&D. We have established the AHB Synthetic Biology
Research Institute, three R&D centers (Systems and Synthetic Biology Center, Precision Fermentation Engineering Technology
Center, and Enzyme Catalysis and Synthesis Center) and two management platforms (High-Throughput Platform and Strain
Platform). Clarifying R&D functions and management responsibilities, we improve the full-cycle R&D management system,
collaborate with four production bases to build a global innovation ecosystem, and integrate the entire synthetic biology chain
from design to industrialization.
AHB prioritizes standardized and systematic R&D management, and has issued documents including the Management Specifi-
cations for Technological Innovation Achievements of the Research Institute, Project Management Specifications, R&D Control
Management Specifications and Patent Incentive Measures. These documents cover the entire process from project research,
lab-scale trial planning and experiments, pilot-scale trial planning and experiments to project conclusion. Through standard-
ized R&D process control, systematic management mechanisms and innovation incentives, AHB continuously enhances R&D
efficiency and achievement transformation capabilities. During the reporting period, we revised the Product R&D Control
Management Specifications, refining and improving the control and management requirements for the entire product design
and development process. Meanwhile, as a major drafting unit, we participated in formulating two group standards, Biostimu-
lant Peptides and Biostimulants—Terminology and Classification, further strengthening our industry influence.
In 2025, our subsidiary, Bayannur Huaheng was recognized as a National Specialized, Refined, Differential and Innovative "Little
Giant" Enterprise. This marks the second national honor of this kind for us, following the recognition of Qinhuangdao Huaheng
in 2022, fully affirming our technological innovation and high-quality development capabilities in the synthetic biology field.
Governance
AHB has always regarded technological innovation and R&D as the core driving force for corporate development, adhering to
an innovation strategy that combines independent R&D with open collaboration. We deepen cooperation with renowned
domestic and international universities and research institutions to build an efficient open R&D system. On the one hand, we
focus on multi-field applications of synthetic biology technology and increase R&D investment in high-value-added,
eco-friendly products. On the other hand, we continuously expand the deployment of AI-powered digital laboratories and
recruit specialized talents to drive integrated innovation of "Biology + AI", with a key focus on the R&D of AI-driven biomanufac-
turing and the construction of pilot demonstration bases. Leveraging our proprietary strain R&D platform, process engineering
scale-up system and strengths in large-scale production, we streamline the translation pipeline from cutting-edge technolo-
gies to end products, accelerating the industrial rollout of high-value innovation outcomes. In the future, we will continue to
strengthen the development of pilot platforms, maintain high investment in R&D, develop more new bio-based products, and
consolidate our leading technological edge in the industry.
Strategy
Type
Risk/Opportunity Description
Potential Financial Impact
Response Measures
Case
AHB Selected for the First Batch of National biomanufacturing Pilot-Scale Capacity Building Platforms
Leveraging our accumulated biomanufacturing technologies and industrialization capabilities, we have been select-
ed for the first batch of "biomanufacturing Pilot-Scale Capacity Building Platforms" jointly recognized by the MIIT and
the National Development and Reform Commission. The platform integrates four core functional modules: molecular
and synthetic technology, precision fermentation, separation and purification, as well as testing and inspection. It has
provided pilot-scale verification services for 15 industry-academia-research projects, successfully advancing the
industrialization process of multiple products. Going forward, the platform will integrate artificial intelligence and
digital information technologies to further improve its full-chain service capabilities covering strain design through to
mass production verification.
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Promote Research and Innovation
•Declining market share, falling
revenue and profits, and
unrecoverable R&D invest-
ment.
•Failure of core processes to
adapt to revolutionary new
technologies may lead to the
risk of substitution and
weakened competitiveness.
•Track cutting-edge technolo-
gies, increase R&D investment,
deploy multi-technology
routes, and deepen
industry-academia-research
cooperation.
Risk of
Technological
Obsolescence
•Reduced competitiveness,
potential legal disputes and
compensation claims, and
increased financial burden.
•Despite confidentiality and
intellectual property protection
measures, there remains a risk
of leakage of core technolo-
gies or trade secrets.
•Strictly enforce confidentiality
systems, standardize R&D
processes, strengthen intellectu-
al property protection, and
conduct employee training.
Risk of Core
Technology
Leakage
•Delayed R&D, reduced
efficiency, increased talent
recruitment and training costs,
and unstable revenue and
profits.
•Shortage of high-end talent
and fierce industry competition
may lead to the loss of core
technical personnel, affecting
R&D and production.
•Improve incentive mechanisms,
optimize the talent environ-
ment, strengthen R&D team
building, and enhance
employees' sense of belonging.
Risk of Core
Technical Talent
Atrophy
•Improve R&D efficiency, reduce
costs and increase efficiency, drive
the launch of high-value-added
products, capture market share,
and enhance profitability.
•Deep integration of synthetic
biology and bio-manufacturing,
upgrades in tool technologies,
and cost reduction through
combining gene sequencing,
genome editing with AI, to
facilitate technology commer-
cialization.
•Upgrade the R&D system,
deepen the integration of
"Biology + AI", optimize
processes, and keep up with
industry trends.
Opportunity of
Technological
Breakthrough
•Boost technological competi-
tiveness, expand business
scope, and drive revenue
growth.
•Deepen industry-academia-re-
search cooperation, expand
external R&D partnerships, and
enhance technological and
industrialization capabilities.
•Strengthen collaborative
partnerships, focus on core
technology R&D, and
accelerate the industrialization
of technological achievements.
Opportunity of
Industry-Aca-
demia-Research
and External
Cooperation

•Technological Innovation
We deepen innovation in synthetic biology technologies and have delivered significant achievements in both product compli-
ance breakthroughs and industry-university-research collaborative efforts to tackle core technologies, providing solid support
for the high-quality development and green transition of the synthetic biology industry.
Impacts, Risks and Opportunities Management
AHB attaches great importance to technological innovation and the accumulation of independent intellectual property rights,
continuously increasing R&D investment, expanding our innovative talent team, and improving our intellectual property
management system. During the reporting period, AHB added 22 invention patents and 11 utility model patents, with innova-
tion achievements being continuously realized.
Indicators and Targets
Case
β-Alanine Approved as One of China's First Food Nutrient Fortifiers
AHB's β-alanine (AH BIOSUS™ BETA) has been approved by the National Health Commission for use as a nutrient fortifier
in sports nutrition foods, making us one of the first enterprises in China to obtain approval for β-alanine as a new food
nutrient fortifier variety. This official authoritative certification enables us to deliver compliant and safe bio-based nutritional
solutions to the sports health industry.
The project Development and Industrial Application of Key Technologies for Non-Grain Synthetic biomanufacturing of
Platform Chemicals, which we jointly developed with Hubei University, Dalian University of Technology and other institu-
tions, has won the First Prize of the Science and Technology Award issued by the China Council for the Promotion of Science
and Technology Industrialization. Leveraging synthetic biology technology, the project has built an innovative pathway for
the efficient production of platform chemicals from non-grain feed-stocks, supporting the upgrading of the biomanufactur-
ing industry and the realization of the Dual Carbon Goals.
Key Technology Project for Non-Grain Synthetic biomanufacturing of Platform Chemicals
Case
•R&D Cooperation
AHB actively builds an open and collaborative R&D cooperation system, engaging with domestic and international universities,
research institutions and industry enterprises to expand the application boundaries of synthetic biology technology. We focus
on the R&D of high-value-added products and continuously improve R&D efficiency and achievement transformation capabil-
ities by refining the R&D project management mechanism. Leveraging the Hefei Synthetic Biology Innovation Research
Institute, we gather high-quality industry talent resources to build an open R&D ecosystem and promote interdisciplinary
collaboration and knowledge sharing. Meanwhile, we deepen strategic cooperation on the industrial side, expand into the crop
nutrition sector and develop eco-friendly products. By closely aligning with market demands and industry development trends,
we empower industrial upgrading through technological and product innovation, contributing to human health and ecological
environmental protection.
•R&D Team Building
AHB brings together high-level scientific research and technical talents in the industry to build a robust, high-quality talent
pipeline, providing solid talent support for accurately assessing cutting-edge trends in synthetic biology and rapidly iterating
innovative products tailored to market needs. Leveraging the industry-university-research integration model, we have estab-
lished long-term, in-depth cooperation with research institutions including Tianjin Institute of Industrial Biotechnology under
the CAS, Institute of Microbiology under the CAS, Beijing University of Chemical Technology, and Zhejiang University of Tech-
nology. We carry out multi-dimensional collaboration in joint talent training, basic scientific research, technological achieve-
ment transformation, and professional talent training, continuously strengthening our basic research capabilities and industri-
alization technology reserves.
Case
Shortlisted as a Partner Unit for the National High-Performance Bioreactor Innovation Task
As a consortium member, AHB has been successfully shortlisted for the "Open bidding for selecting the best candi-
dates" initiative under the MIIT's High-Performance Bioreactor Innovation Task, participating in the R&D of "Microbial
Parallel Bioreactors". Together with industry-university-research partners including Suzhou Womei Biology company,
Suzhou Institute of Biomedical Engineering and Technology under the CAS, Tsinghua University, and CABIO, AHB
focuses on breakthroughs in key bioreactor technologies. This initiative helps enhance China's indigenous controlla-
bility and supply security capabilities for core biomanufacturing equipment, demonstrating AHB's technological
strength and collaborative innovation advantages in the field of core biomanufacturing equipment.
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Research
Institute
Cooperation
Collaborate with domestic and international research institutes including the Tianjin Institute of Industrial Biotech-
nology and Institute of Microbiology under the Chinese Academy of Sciences (CAS) to jointly conduct R&D and
tackle key problems, and realize the transformation of scientific and technological achievements into economic and
social value.
University-
Enterprise
Cooperation
Conduct in-depth cooperation with universities including Shanghai Institute of Technology, Donghua University,
Zhejiang University of Technology and Hefei University; co-establish joint laboratories, academician workstations,
etc., to jointly advance the transformation of scientific and technological achievements and professional talent
cultivation.
Enterprise
Cooperation
Work with leading enterprises in the industry to drive innovation and improvement in all links of the synthetic
biology industrial chain.
Customer
Cooperation
Launch multiple innovative projects with core customers to continuously advance product innovation, industrial
upgrading and partnership enhancement.
Case
AHB Awarded National Postdoctoral Research Workstation
In 2025, AHB was officially approved to establish a National Postdoctoral Research Workstation, marking a
national-level upgrade of its high-level innovative talent recruitment and development platform. Relying on this
platform, we will recruit and cultivate young core researchers with both solid theoretical foundations and strong
R&D capabilities, consolidate our innovative talent pipeline, and provide solid talent support for breakthroughs
in synthetic biology technology and high-quality development.
Total R&D investment
151.20 million RMB
Ratio of R&D investment to main business revenue
5.28 %
Number of R&D employees
285 persons
Ratio of R&D personnel to total company employees
12.66 %
2025

AHB's research and development activities, including gene synthesis and gene editing, are strictly confined to industrial
bio-manufacturing. Such activities are primarily undertaken to optimise metabolic pathways in industrial microorganisms,
develop production strains and improve fermentation performance for the manufacture of small-molecule products (e.g.
amino acids, organic acids and other fermentation-derived ingredients). AHB does not conduct any R&D or application involv-
ing (i) human clinical trials or clinical gene therapy, (ii) human embryo or germline editing, or (iii) the use, development or
enhancement of highly pathogenic microorganisms or other activities with significant ethical controversy, thereby maintaining
a clear technology boundary and reducing ethical and biosecurity risks. AHB uses non-pathogenic industrial microorganisms
with a long-standing history of safe industrial fermentation use and, together with closed-system operations and mandatory
inactivation prior to disposal, assesses the residual biosafety risk to be low and manageable.
From a biosafety perspective, AHB prioritises non-pathogenic industrial microorganisms with an established history of safe
industrial use and applies internal biosafety assessment procedures for strain selection, handling and retention. Where an R&D
activity, strain or product falls within regulated food/feed or other relevant application scenarios, AHB will conduct compliance
assessment and/or confirmations in accordance with applicable regulatory frameworks (e.g. the safety histories of underlying
chassis strains under the US Food and Drug Administration's (FDA) Generally Recognized as Safe (GRAS) framework or the
European Food Safety Authority's (EFSA) Qualified Presumption of Safety (QPS) approach, or obtaining relevant PRC "new
food raw materials/food additives" approvals, as applicable).
To ensure robust oversight and compliance with applicable PRC requirements, including the Biosecurity Law of the People's
Republic of China and the Regulations on the Biosafety Management of Pathogenic Microorganism Laboratories, AHB has
established a tiered risk assessment and multi-level project approval mechanism for R&D projects involving genetic modifica-
tion. Such projects are subject to risk identification and biosafety/ethics considerations at the project initiation stage and may
only proceed after review and approval by relevant functions under AHB's internal authorisation procedures (including R&D,
biosafety/laboratory management, legal/compliance and management oversight). Projects that exceed internal risk thresholds
or present sensitive factors are subject to escalated review, and unapproved projects are not permitted to commence.
Operationally, AHB's engineered strains are used only in controlled laboratory environments and closed fermentation systems.
AHB enforces standard operating procedures (SOPs) covering, among others, strain management, sample transfer, contain-
ment, waste treatment and mandatory inactivation prior to disposal, to reduce risks of leakage, cross-contamination and
environmental release and to achieve closed-loop controls over key biosafety risk points.
Ethics of Science and Technology
AHB attaches great importance to the protection and management of intellectual property (IP). AHB has established a gover-
nance system with overall decision-making by the Intellectual Property Management Committee, centralized implementation
by the Intellectual Property Center, and coordinated collaboration among all departments, clarifying full-process IP manage-
ment requirements as well as departmental responsibilities and authorities. For high-value patent management, a dedicated
High-Value Patent Review Committee has been set up to perform core tasks including formulating high-value patent
standards and conducting review and classification. In 2025, we updated and consolidated documents including the intellectu-
al Property Management Manual, and issued the Intellectual Property Management Specifications and issued the High-Value
Patent Management Specifications concurrently. Focusing on patent mining, we precisely cultivate high-value patents with
advanced technology and outstanding market value, improve supporting incentive mechanisms, and promote the efficient
creation, strict protection and scientific operation of intellectual property.
AHB has obtained the GB/T 29490-2023 Intellectual Property Compliance Management System Certification, continuously
consolidating the foundation for compliant operation. The Intellectual Property Center, in collaboration with the Research
Institute, production bases and sales divisions, regularly conducts special training on patent layout, infringement risk identifica-
tion and other topics. We have also built an IP learning system to provide employees with professional guidance on patent
application, trademark registration, laws and regulations, comprehensively enhancing all employees' IP awareness and compli-
ance literacy.
Intellectual Property Protection
•Intellectual Property Management Measures
• Set KPIs to actively file patent applications, and conduct analysis and application of patent information
• Conduct trademark management in line with market needs to ensure effective use of trademarks
• Plan the technology roadmap in advance during the R&D phase and formulate supporting intellectual
property protection measures
• All employees in core positions sign confidentiality agreements
• Conduct technical searches and FTO (Freedom to Operate) analysis to assess infringement risks
• Mitigate intellectual property risks through pre-assessment and post-event reviews
• Implement full-process risk planning for intellectual property to proactively mitigate potential risks
• Adopt risk control measures such as purchasing patent hedges and conducting infringement analysis
via third-party institutions
• In cooperation with universities and academic professors, focus on the risk of duplicate R&D and work
with partners to implement risk management
• During collaborative R&D, monitor publications to balance intellectual property protection with the
needs of cooperative research
• Deploy patent portfolios across the entire business chain, covering the full process from R&D strains to
product manufacturing
• Focus on core synthetic biology technology links to deploy high-barrier, high-value patents, building
a strong technical moat to support the competitiveness of core products
Patent Application
and Trademark
Utilization
Technology Roadmap
Protection
Risk Management
and Control
Collaborative R&D
Oversight
Patent Portfolio
Strategy
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Intellectual Property Compliance
Management System
Certification of AHB
Intellectual Property Compliance
Management System
Certification of Bayannur Base
Intellectual Property Compliance
Management System Certification
of Qinhuangdao Base

Humanistic Care
Create a Better Life
04
•Gather Enterprising Talents
•Foster Collaborative Success with Partners
•Contribute to Social Welfare
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Environmental, Social and Governance (ESG) Report
SDGs Aligned with This Chapter

Employee Rights Protection
AHB always regards talents as the most valuable assets and the source of core competitiveness. While drawing on advanced
international experience in talent governance, we fully integrate our distinctive development features and continuously
optimize mechanisms for talent introduction and development, delivering solid talent support for high-quality development.
AHB always upholds the philosophy of lawful employment, respect for human rights and labor rights, as well as diversity,
inclusion and equality, and integrates these principles into all aspects of corporate management.
We firmly believe that protecting employees' legitimate rights and interests is the fundamental guarantee to stimulate their
enthusiasm, initiative and creativity, and also serves as the core foundation for win-win development between AHB and
employees. To this end, we have further improved the employee rights protection system and continuously optimized a diverse
and inclusive workplace ecosystem, fully respecting employees' individual differences and diverse backgrounds. We strictly
comply with sound employment standards and provide all employees with equal opportunities for competition and career
development, enabling talented personnel to stand out, fully leverage their strengths and deliver value to the enterprise.
AHB signs labor contracts with all employees in accordance with the Labour Law of the People's Republic of China and other
relevant laws and regulations, and implements full staff labor contract management. We firmly oppose all forms of employ-
ment discrimination and prohibit child labor. We ensure that all employees enjoy equal rights in recruitment and hiring, remu-
neration, career promotion and other aspects, and shall not receive differential treatment based on ethnicity, race, national
origin, gender, religious belief, age, sexual orientation, political affiliation or marital status. We adhere to the talent employment
principle of establishing positions based on job requirements and selecting talents according to position needs, and provide all
employees with equal and fair opportunities for job rotation and promotion.
Compliant Employment
AHB adheres to reasonable employment practices. Approved and registered by relevant government departments, AHB
implements standard working hours system, comprehensive working hours system, and flexible working hours system,
eliminating employee fatigue and overwork. Office staff operate under the standard working hours system. Due to production
needs, departments such as production, engineering, EHS, and quality adopt the comprehensive working hours system, while
marketing, procurement, and senior management use the flexible working hours system.
Responsible Employment
•Practical Measures
Category
Measures
Internal Recommendations: Encourage internal employees to actively recommend candi-
dates based on job recruitment needs, broaden recruitment channels, and reward successful
recommendations with varying amounts of compensation according to the rank of the hired
individual. The principle of "relative avoidance" is also applied, meaning that recommenders
cannot participate in interviews, and department heads must not have a direct hierarchical
relationship with the recommended individuals, ensuring fair and just hiring practices.
Internal
Recruitment
Social Recruitment: Introduce senior talents through diversified forms such as online recruit-
ment information, job fairs and headhunting recommendations.
Campus Recruitment: Special campus recruitment is carried out from August each year to
attract outstanding graduates from all kinds of majors to join AHB and inject new strength
into the sustainable development of AHB.
External
Recruitment
Standard Working Hours System
In strict compliance with the Provisions of the State Council on Employees' Working Hours.
Comprehensive Working Hours System
Within the comprehensive calculation cycle, the total actual working hours shall not exceed the total statutory
standard working hours. The actual working hours on a single day or week may exceed 8 hours or 40 hours respec-
tively. Any excess hours shall be deemed as extended working hours, and overtime remuneration shall be paid in
full accordance with relevant provisions of the Labour Law of the People's Republic of China. The average monthly
extended working hours shall not exceed 36 hours.
Flexible Working Hour System
This working hour system applies to roles whose workload cannot be measured by standard working hours and
require flexible assignments. AHB implements a voluntary overtime policy. Forced overtime is strictly prohibited, and
no punishment or disciplinary sanctions shall be imposed on employees who decline to work overtime. Where shift
rotation is arranged, employees shall be guaranteed a rest period of no less than 12 hours before returning to work.
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Gather Enterprising Talents
Institutional System
Compliant Employment Management Norms
Entry, Departure and Labor Contract Signing Norms
New Employee Probation Period Management Norms
Working Hours Management Norms
Prohibition of Child Labor
Recruitment Management Norms
Anti-Discrimination Policy
Layoff Management Norms
Professional Qualification Certification Management Norms
Salary Management Norms
Women's Rights and Labor Protection Management Norms

AHB strives to build an equal and inclusive workplace environment, places particular
emphasis on supporting female career development, and firmly puts an end to age
discrimination. We offer employees from diverse backgrounds a fair platform for growth
and career advancement. As of the end of the reporting period, AHB had a total of 2,252
employees, including 531 new hires recruited in the current year. By fostering a diversified
and integrated talent team, we continuously stimulate organizational innovation vitality
and inject enduring momentum into our high-quality development.
Diversity, Inclusion and Equality
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AHB protects employees' rights to leave and welfare in accordance with applicable laws, optimizes various subsidies and
improves the welfare system. AHB fully delivers leave benefits related to childbirth. Beyond statutory requirements, AHB grants
female employees an extra 60 days of maternity leave and offers male employees 30 days of paternity leave. Meanwhile,
parental leave benefits are equally available to all employees irrespective of gender. As explicitly specified in the Employee
Handbook, employees are entitled to 10 days of parental leave per year before their children turn six years old, enabling staff
to strike a good balance between work and family. These people-oriented welfare measures effectively strengthen employees'
sense of belonging and work initiative. In 2025, 137 employees met the eligibility criteria for parental leave, and all 137 employ-
ees took the leave, marking a 100% uptake rate. The return-to-work rate of employees who resumed duty after leave also
reached 100%, which reflects employees' high recognition of AHB.
Employee Welfare
AHB adheres to the principle of equal pay for equal work and continuously revises and improves the Salary Management
System and the Performance Management System. In terms of compensation management, we uphold the dual principles of
internal equity and external competitiveness. Internally, we ensure consistency between job compensation and job grade
through a standardized compensation framework. Externally, we benchmark compensation data against target markets and
our actual situation to determine our compensation levels, thereby enhancing competitiveness and increasing our appeal to
key talent. We pay salaries in full and on time, and provide employees with detailed pay statements to ensure a clear under-
standing of salary components, bonuses, and various benefits. In terms of compensation structure, we adopt a mix of fixed and
variable pay, with differentiated fixed-to-variable ratios based on job characteristics, and pay overtime wages in accordance
with applicable laws. Furthermore, we implement dynamic salary adjustments each year based on employee performance
ratings, giving due preference to high-performing and high-potential talent to continuously strengthen compensation
competitiveness and organizational vitality.
During the reporting period, AHB further enriched its diversified incentive system. In addition to the regular year-end bonus,
we established multiple special incentives to recognize individuals and teams that have made outstanding contributions in
different areas. At the same time, AHB continues to implement its equity incentive plan, deeply aligning employee interests with
AHB's long-term development to achieve mutual growth and shared success.
Remuneration Management
AHB processes social insurance and housing fund for employees in accordance with national regulations, and delivers a wide
range of welfare benefits. In addition, AHB is equipped with a gymnasium and lounge areas to help employees relax and
unwind after work.
Statutory Holidays, Paid Annual Leave, Marriage Leave, Home Visit Leave, Sick Leave, Maternity
Leave, Paternity Leave, Parental Leave, Bereavement Leave, Personal Leave...
Employee
Leave
Complimentary Staff Meals, Physical Check-ups, Accommodation, Festival & Birthday Benefits,
High-temperature Allowance, Afternoon Tea...
Employee
Welfare
AHB resolutely eliminates age discrimination. While introducing young talents, we do not set a threshold of 30+ years old. By
the end of 2025, the proportion of employees over 30 years old in our workforce reached 66.52%.
AHB adheres to the principle of establishing positions based on job requirements and selecting talents according to position
needs at its headquarters and all bases, which effectively drives employment in local areas. We strictly comply with the
Anti-Discrimination Policy and the Management Standards for Women's Rights and Labor Protection and other relevant
regulations. We eliminate all discrimination and unfair treatment caused by any factors, fully respect employees' ethnic
customs, and actively foster a working atmosphere featuring diversity, equality and inclusion. As of the end of the reporting
period, there were 209 ethnic minority employees among full-time staff, representing 9.28% of the total full-time workforce.
Male 1,641
Female611
72.87%
27.13%
Gender Structure
Aged ≤30754
Aged ≥5056
Aged 31–491,442
64.03%
33.48%
2.49%
Age Structure
Han Ethnicity 2,043
Other Ethnic Groups209
90.72%
9.28%
Ethnicity Structure
Gender Structure of New Employees
Male378
Female153
71.19%
28.81%
Employee Structure

AHB has further improved the internal management systems, including the Recruitment Management Norms, Salary Manage-
ment Norms, Entry, Departure and Labor Contract Signing Norms, Working Hours Management Norms, Training Management
Norms, Women's Rights and Labor Protection Management Norms, Professional Qualification Certification Management
Norms, Layoff Management Norms, Anti-Discrimination Policy, and Prohibition of Child Labor. We ensure that all systems are
strictly implemented to comprehensively protect the legitimate rights and interests of our employees.
Human and Labor Rights Management
AHB continuously improves institutional norms including the AHB Enterprise Collective Negotiation System, the AHB Demo-
cratic Management System, and the Employee Representative and Collective Negotiation Dialogue Mechanism Document. We
fully uphold the spirit of democracy and respect employees' opinions. Our Trade Union effectively safeguards employees' rights
to collective bargaining. All work is carried out in strict accordance with the Trade Union Law of the People's Republic of China
and the Constitution of the Chinese Trade Unions. The trade union plays a vital role in affairs disclosure, employee participation
in corporate democratic management, and the review of major matters concerning employees' vital interests. Through proac-
tive communication and dialogue, the trade union effectively addresses employees' practical issues and reasonable demands,
and further promotes corporate harmony and sustainable development.
Democratic Management
•Implementation Measures
•Two-way Communication Mechanism for Democratic Dialogue
We firmly reject any form of forced labor, and prohibit the collection of deposits or the seizure of
identity documents from employees at the time of employment.
No Forced
Labor
Our security services are provided by third parties, and 100% of security personnel have received
formal training in human rights policies or specific procedures and security applications.
Security
and Human
Rights Training
We conduct due diligence on potential human rights risks across the supply chain based on the
labor and human rights criteria set out in the Supplier Audit Checklist. During the reporting
period, no material risks of forced labor were detected at any operation site or among any
suppliers.
Human Rights
Due Diligence
We respect the human rights of all employees and other stakeholders, and do not tolerate any
form of discrimination, harassment, or retaliation in the workplace. In recruitment, compensation,
training, promotion, termination, and retirement, it is strictly prohibited to discriminate based on
ethnicity, social status, language, religious beliefs, physical disability, gender, sexual orientation,
union membership, political affiliation, or age.
No Workplace
Discrimination
or Harassment
• In-depth solicitation of opinions and sugges-
tions from cadres and employees on important
decisions,important matters and sensitive
issues
• Report on key work and hot issues concerned
by attitude of leaders and colleagues cadres
and employees
• Communication on major work arrangements
of superiors in a timely manner, and conduction
of key discussions on key positions, key
personnel, key issues and key matters
The management seeks employees'
opinions, listens to public opinion, and
understands the situation, covering:
• Opinions and suggestions on the work of AHB
• Views and opinions on the personal working
style, working mode, working method and
working attitude of leaders and colleagues
• Important issues
• Practical difficulties in work and life that need
to be resolved with assistance
• Report on violations of law and discipline
Employees truthfully report issues and
provide suggestions to the management,
covering:
03
02
01
Mechanism for
Handling Employee
Complaints and
Comments
For the complaints and comments that meet the policy requirements and conditions and
can be resolved, a clear reply and resolution deadline will be given on the spot.
In the case that the policies and regulations are not clear or that there are related
regulations but the complaint and comment cannot be solved immediately, a
description of the situation and the deadline for reply shall be provided.
In case of a violation of policies and regulations, it shall be explained clearly face to face.
2025
Labor contract signing rate is
100 %
The coverage rate of social insurance payable is
100 %
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AHB has always firmly believed that talent is the core driver of corporate development, and we continuously improve our talent
cultivation and development mechanisms. We have established a comprehensive training system, a scientific performance
appraisal mechanism, and clear career development pathways, committed to providing employees with holistic support for
growth. During the reporting period, we further optimized training content, offering diverse learning opportunities that align
with employees' actual needs and development goals, helping them enhance their professional skills and overall competencies.
At the same time, through a fair and transparent performance appraisal system, we provide employees with clear directions for
growth, and closely link appraisal results with promotions and salary adjustments to ensure that every employee's contribu-
tions are duly recognized. Furthermore, we have designed well-defined career development paths for our employees, enabling
each individual to find a suitable direction for growth—whether deepening professional expertise or pursuing managerial
advancement.
We established the AHB Talent Development Center, focusing on enhancing internal professional capabilities. By integrating
case studies with theoretical practice, we have built an educational platform that combines research and study. This place is
not only a hub for knowledge dissemination but also an incubator for talent. AHB Talent Development Center comprehensively
covers business talents, production talents, professional talents and management talents, characterized by high standards,
internationalization, AI technology application and professionalism, constantly innovating talent cultivation mechanisms. At the
same time, we closely integrate talent cultivation with performance evaluation to ensure that employees' growth is in line with
our development goals.
Training and Talent Development
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AHB regularly conducts performance and career development assessment for employees to motivate them to give full play to
their potential, improve work efficiency and quality, promote the cooperation and efficiency of the whole team, and provide
better training and development opportunities for employees. During the reporting period, a total of 2,252 employees received
performance and career development assessment, the specific data is as follows:
AHB Talent Development Center
Cutting-edge research and
exploration in the synthetic
biology industry
Advanced knowledge theory
consolidation and refinement in
the synthetic biology industry
Cultivation of various kinds of
excellent talents in synthetic
biology industry
Advanced Technology
Authoritative Knowledge
Excellent Talents
Male 1,641
Female 611
By Gender (persons)
72.87%
27.13%
By Age (persons)
Aged ≤30 754
Aged ≥50 56
Aged 31–491,442
64.03%
33.48%
2.49%
In terms of employee training, we actively build our training management system and broaden development pathways. During
the reporting period, we further revised and improved the Training Management Norms, comprehensively utilizing various
training formats such as internal and external training to enhance employees' skills and professional knowledge, optimize the
employee growth and development system, and inject new momentum into our talent reserve.
In 2025, AHB provided training to 2,252 employees, representing 100% of all employees. The total training hours for production
bases employees reached 241,010 hours, with an average of 107 training hours per employee.
Employee Training
Male1,641
Female611
72.87%
27.13%
By Gender (persons)
Management
team
160
Junior
professionals 1,822
Intermediate
professionals 270
80.91%
11.99%
7.10%
By Position (persons)
•Total Number of Trained Employees
•Total Duration of Training
85.37%
14.63%
By Gender (hours)
Male
Female
205,742
hours
35,268
hours
By Position (hours)
76.12%
15.65%
8.23%
19,840
hours
37,726
hours
183,443
hours
Management
team
Junior
professionals
Intermediate
professionals
Employee Training Structure

In terms of career development, we offer a diversified career path for our employees, including the "Stellar Plan" program for
new graduates and a dual-track talent development system covering all employees. We are committed to building clear career
ladders for every employee, helping them realize their self-worth in professional fields or management positions.
Career Development
AHB always regards employees' life safety and physical and mental health as the top priority, and delivers comprehensive
protection for their occupational health and safety. AHB has established and improved the EHS communication and coordina-
tion mechanism. A Corporate EHS Committee is set up at the headquarters, which convenes EHS meetings semi-annually.
These meetings serve to discuss key EHS matters and make decisions on major issues. The agenda includes EHS work reports
and arrangements for all bases, dissemination of key laws and regulations, and follow-up on the rectification of major hidden
dangers. Such arrangements ensure that safety management requirements are passed down level by level and fully imple-
mented.
Governance
The Stellar Plan: a seamless transition from campus to the workplace
To meet our mid-to-long-term strategic needs for talent, and to build a high-quality
team through talent ladder construction, AHB has launched the "Stellar Plan" campus
recruitment and training plan. This plan integrates theoretical knowledge with practical
activities, specifically comprising six chapters: Preparatory Warm-up, First Impression of
AHB, Integration, Growth & Leaps, Internal Dual Selection, and Competency Develop-
ment. Through systematic training and cultivation, it aims to help newly hired college
graduates quickly establish a sense of belonging, enhance their professional compe-
tence, and successfully complete the role transformation from students to corporate
employees.
Dual-track Development: a parallel growth path of specialization and management
AHB always regards talent cultivation as the top priority, formulating a five-year development plan and implementing the
"4221" talent strategy. We have established a dual-channel talent development path and qualification system, providing
employees with two career development directions: management channel and specialist channel. This meets our human
resource needs for development while also creating a clear growth ladder for employees. Whether it is delving deeper into
specialized fields or advancing to management positions, employees can find suitable development paths at AHB, realizing
their career aspirations.
Dual-channel Talent Development Path
Supervisor
Manager
Director
Senior
Director
Management
Channel
Engineer
Intermediate
Engineer
Senior
Engineer
Chief
Scientist
Specialist
Channel
Junior
Employee/
Assistant
Employee Health and Safety
EHS Committee
The main responsibilities of the EHS Committee include participating in various activities related to the
prevention of work-related accidents, identifying various health and safety issues, collecting employees'
opinions, making corresponding improvement suggestions, implementing relevant measures to solve
problems, and promoting dialogue between labor and management.
EHS Center
AHB has established the EHS Center to further strengthen the systematic and professional management
of related employees' health and safety work, create a safer and healthier working environment for
employees, and promote the sustainable development of the enterprise.
EHS Department
AHB values the physical and mental health of employees. The EHS Department has been established at
the production base to manage employee occupational health. This department is responsible for formu-
lating occupational health policies and establishing standards for labor protection supplies, addressing
health and safety issues encountered by employees during work, such as physiological and psychological
problems caused by hazardous equipment, working methods, and harmful substances. It effectively
controls occupational health and safety risks related to production and operations, continuously improv-
ing occupational health and safety performance.
•Management Structure
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2025
Total annual training expenditures
2.66 million RMB
Total number of employees trained
2,252 persons
Average training hours per employee
107.02 hours
Total number of employees under performance
and career development assessment
2,252 persons

•Institutional System and Certification
AHB strictly adheres to laws and regulations such as the People's Republic of China Law on Work Safety , earnestly managing
safety issues. Taking each base as a unit, we have established standards like the Accident Management Regulations, Fire Safety
Management Regulations, Work Safety Responsibility System Management Regulations, Occupational Health Management
Regulations and Chemical Management Regulations to ensure worker operational safety and chemical safety management.
Meanwhile, AHB rolled out the EHS Reward and Punishment Management Regulations. AHB fully implements EHS responsibil-
ities, strengthens group-level EHS objective management, and establishes a complete EHS incentive and restraint mechanism
to steadily improve overall EHS performance. The four production bases of AHB—Changfeng, Bayannur, Qinhuangdao, and
Chifeng—have all obtained ISO 45001 Certification for their occupational health and safety management systems.
ISO 45001 Occupational Health and Safety Management System Certification
AHB adheres to the principle of "Safety First, Prevention Prioritized and Comprehensive Management", coordinating the simul-
taneous advancement of the overall EHS framework across all production bases. Embracing a proactive risk control approach,
we carry out forward-looking planning for key tasks such as workplace environment inspections, source prevention and
control of occupational diseases, and full-process management of hazardous chemicals. In parallel, we establish a system for
cultivating a safety culture and a mechanism for regular health protection. We comprehensively identify and assess various risk
sources that may cause personal injury in production scenarios, thereby building a stable and long-term protection system for
occupational health and safety.
Strategy
AHB regularly carries out various work including work safety training, inspection and rectification of hidden dangers, and
emergency drills. We continuously strengthen work safety objective management and inherent safety development, so as to
comprehensively improve all employees' safety knowledge and standard operating skills. Meanwhile, we attach great impor-
tance to the prevention and treatment of occupational diseases. We strictly implement the company-wide occupational health
examination system to effectively safeguard employees' rights to physical and mental health.
Impacts, Risks and Opportunities Management
Hazard Identification and Occupational Health Examinations
AHB fully considers occupational hidden dangers during production and operation processes. We conduct health
check-ups for employees in five major categories of occupational health examinations—dust, high temperature, noise,
coal dust, welding fumes, industrial frequency electric fields, hydrogen sulfide, methanol, ammonia, phosphorus and its
inorganic compounds, lead and its inorganic compounds, manganese and its inorganic compounds, ultraviolet light,
acetic anhydride mist, nitrogen oxides, hydroquinone, and other types (such as special operations)—before they start
work and during their employment. AHB also provides free health check-ups to employees who have been with AHB for
more than six months. Additionally, we have established a channel for psychological guidance and organized mental
health training sessions, such as "Caring for Female Mental Health" to help employees manage psychological stress.
•Occupational Health Management Measures
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Risk Type
Risk Description
Impact
Time Horizon
Potential
Financial Impact
Response Measures
•During production and operation,
violations of work safety operating
procedures by employees,
inadequate on-site control over
production processes, force majeure
such as natural disasters and other
unexpected incidents may all lead to
work safety accidents. Such
incidents will exert adverse impacts
on our normal production &
operation order and operating
performance.
•Establish, improve and strictly
enforce work safety management
systems
•Upgrade safety protection
facilities for equipment and equip
relevant personnel with profes-
sional personal protective
equipment (PPE)
•Intensify work safety training and
inspection of hidden dangers, and
organize emergency drills on a
regular basis
Short-term
Medium-term
Revenue Decline
Work Safety
•Irregular use of PPE, long-term
exposure to environments with
excessive noise, excessive occupa-
tional psychological stress and other
issues may cause occupational
diseases or impair employees'
physical and mental health. This will
not only weaken employees'
working capacity, but also trigger
legal disputes, bringing adverse
effects on corporate operations.
•Arrange regular occupational
health examinations for employees,
and establish occupational health
records as well as personal health
surveillance files for employees
•Strengthen occupational health
training, education and skill
assessments
•Conduct testing and evaluation on
occupational hazard factors at
workplaces
Short-term
Medium-term
Revenue Decline
Occupational
Health

Production Safety Management
AHB strictly implements the work safety responsibility system. We enhance risk prevention and control capacity by
organizing regular fire drills and safety training, stepping up inspection and maintenance of facilities, standardizing
operating procedures and conducting staff drills. We ensure all safety facilities remain intact and effective, so as to
prevent and mitigate accident risks from the source.
Safety Inspections and Accident Handling
AHB has always adhered to safe production and the elimination of work-related accidents. We have established a
production safety management mechanism that includes safety awareness training, safety warning reminders and
measure optimization, emergency response to safety incidents, and management and penalties for accident responsibili-
ties. Regular safety inspections are conducted. In 2025, we promptly rectified the safety hidden dangers identified
through safety inspections, achieving a 100% rectification completion rate.
Safety and Occupational Health Training
AHB establishes a regular safety training mechanism in accordance with the EHS Training and Education Implementation
Plan and Work Safety Training and Education Management Regulations. All production bases hold regular work safety
meetings and organize company-wide training on EHS laws and regulations, hazard source identification, dust explosion
control and other relevant topics. Combining the formulation and training of SOP, AHB comprehensively enhances
employees' safety awareness and operational skills. In 2025, we conducted a total of 556 safety-themed training sessions.
Emergency Safety Management
AHB has established the Production Safety Accident Emergency Plan, aimed at enhancing rapid response capabilities to
production safety incidents. This plan seeks to promptly implement effective measures before, during, and after an
accident occurs, controlling the occurrence and development of emergencies and minimizing the harm to personnel, the
environment, and property as much as possible. AHB has set up an Accident Emergency Rescue Command Center, which
comprises four teams: the Emergency Medical Rescue Group, Communication and Liaison Group, Logistics Support
Group, Accident Investigation and Aftermath Handling Group. The Command Center is headed by a Chief Commander
and Deputy Chief Commander, with all employees serving as members of the rescue organization. AHB regularly organiz-
es special emergency drills for fire, fire and explosion, and hazardous substance leakage to improve practical response
capabilities, and ensures that all emergencies can be dealt with promptly, in an orderly manner and efficiently.
•Production Safety Management Measures
Emergency Organization Structure
Deputy Chief Commander
Emergency Medical
Rescue Group
Communication
and Liaison Group
Logistics
Support Group
Accident Investigation
and Aftermath
Handling Group
Chief Commander
Case
Changfeng Base Held the 2025 Work Safety Month Campaign
Centered on the theme "Everyone prioritizes safety, everyone masters emergency response – Identify hidden safety hazards
around you", the 2025 Work Safety Month activity of Changfeng Base ran from June 1 to 30 in three phases: launch &
arrangement, implementation & advancement, and review & improvement. Upholding the guideline of "putting safety first,
focusing on prevention and implementing comprehensive management", the base set up a leading group chaired by the
General Manager. A series of special activities were organized, including thematic training, safety warning education, safety
knowledge contests and forklift safe operation competitions. Meanwhile, the base rolled out three-level safety education
and closed-loop rectification for all detected hidden dangers. The campaign achieved a 100% hazard rectification rate and
a 100% staff safety awareness rate. Through post-event review, merit commendation and standardized document filing, the
base effectively boosted employees' emergency response capabilities and enriched the corporate safety culture.
Case
Bayannur Base Conducted Fire Extinguishing and Evacuation Emergency Drill
Bayannur Base carried out an emergency drill for fire suppression and personnel evacuation in June 2025. Taking an electri-
cal fire at the No.4 Packaging Section as the simulated scenario, the drill activated Level II emergency response, which
verified the practicability of the emergency plan and the coordination efficiency of each working group. The drill featured
proper on-site command and timely emergency activation. However, multiple deficiencies were exposed: inaccurate
positioning of trapped personnel, single type of communication equipment, tangled fire hoses and unsecured stretchers.
Rectification responsibilities and completion deadlines have been fully assigned to resolve these problems. Comprehensive
assessment confirmed the drill achieved all expected goals, effectively raising employees' emergency awareness and rescue
proficiency.
Emergency Drill at Bayannur Base
Target
Progress in 2025
Occupational health examination coverage 100%
The number of employees with work-related injuries of Grade 8 and above is zero
The number of work-related fatalities is zero
Achieved
Achieved
Achieved
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Indicators and Targets
2025
Workplace safety investment amount
5.43 million RMB
Total safety training hours
32,102 hours

Collaborate with Suppliers to Create the Future
Supply Chain Management
•Management System
AHB has established a comprehensive supply chain management system to identify environmental and social risks in the
supply chain. We have formed contractual, standardized, and routine management mechanisms for product delivery
schedules, quality control, and technical confidentiality. We have formulated and revised relevant supply chain manage-
ment documents, including the AHB Supplier Code of Conduct, AHB Supplier Management Standards, AHB Procurement
Management Standards, and AHB Bidding Management Standards. We also steadily improve the supplier assessment
system, so as to form a complete procurement management framework.
AHB has established an admission and assessment mechanism covering the full life cycle of suppliers. We regularly evaluate
supplier performance, and require suppliers that fail to meet relevant standards to carry out continuous improvement, or
impose cooperation suspension and elimination when necessary. Assessment results serve as a key basis for supplier quali-
fication review, quota adjustment and cooperation decisions. This helps further standardize supplier conduct and realize
full-process closed-loop management. Meanwhile, we strengthen supervision and assessment over suppliers to effectively
prevent procurement risks and drive the sound and sustainable development of the supply chain.
Supply chain management is critical to our stable operation and long-term development. AHB upholds the philosophy of
sustainable development, conducts procurement of products and services in a responsible manner, and continuously drives
mutual growth and sustainable development alongside suppliers.
•Practical Measures
AHB formulates relevant guidelines and explanatory documents for supplier selection and supplier behavior
standards. AHB manages new suppliers according to institutional documents such as the Supplier Basic
Information Survey Form, Supplier Audit Checklist, and Supplier On-site Audit Form. The due diligence
process covers various aspects of relevant qualification materials, including business licenses, production
permits, system certificates, third-party inspection reports, and REACH registration information, as well as
elements of business ethics, environmental, labor, and human rights standards. This ensures that suppliers
meet procurement requirements through a comprehensive evaluation system.
Supplier
Access
AHB implements tiered supplier management and establishes a cross-departmental review team. In princi-
ple, performance evaluations are conducted quarterly for strategic, leverage and bottleneck suppliers.
Suppliers with low order frequency are assessed semi-annually or annually. The evaluation covers five
dimensions: quality, delivery, service, cost and social responsibility. The overall score is calculated and
supplier tiers are classified in accordance with the Supplier Performance Evaluation Standard Template.
Based on annual review results and material classification, AHB formulates the Annual Supplier Audit Plan.
In case of any irregularities from suppliers, the review team may launch ad-hoc special audits after discus-
sion and confirmation. This enables AHB to respond promptly, adjust procurement strategies and optimize
the supply chain structure.
Supplier
Evaluation
AHB conducts supplier capability building training for suppliers on an irregular basis, covering quality,
business ethics, environment, labor, and human rights. We also continuously monitor the subsequent
capability building and performance of suppliers, using these as reference dimensions for annual
supplier evaluations. During the reporting period, 763 suppliers participated in improvement actions
or capacity-building initiatives.
Supplier
Training
AHB is committed to maintaining a fair and ethical business environment. We sign the Supplier Integrity
Cooperation Agreement and the Statement of Compliance with AHB Supplier Code of Conduct with
our suppliers, clearly defining core requirements such as anti-bribery, anti-corruption, conflict of
interest management, and data privacy protection. AHB has established a supply chain transparency
mechanism, set up dedicated reporting channels, and implemented anonymous whistleblower
protection and a strict confidentiality system. At the same time, AHB regularly conducts integrity
supervision and audits of suppliers, promotes self-inspection, self-correction, and continuous
improvement, and organizes integrity-themed briefings for suppliers to communicate integrity
requirements, disseminate the code of conduct, and strengthen suppliers' compliance awareness.
Supplier Integrity
Management
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Foster Collaborative Success with Partners

•Implementation Measures
AHB encourages suppliers to establish high standards of social responsibility, promoting continuous
improvement in business ethics, environmental protection, and labor rights. To strengthen suppliers' aware-
ness of social responsibility, we have clearly defined their obligations in the Procurement Contract through
specific clauses, requiring them to appoint an independent social responsibility management representative
to oversee the operation of the social responsibility system, ensuring it is not interfered with by other
organizations.
Supplier
Sustainability
Requirements
We have strict requirements on the raw materials used by suppliers. Suppliers should ensure that the parts
and materials supplied meet the environmental protection requirements in our purchasing data. We
encourage suppliers to use environmentally friendly reusable or recyclable packaging materials as far as
possible, and carry out REACH registration. Regarding conflict minerals management, we require our
suppliers to conduct responsible sourcing due diligence for controlled minerals as defined by the RMI,
including tungsten, tantalum, tin, gold, cobalt, and lithium, to ensure that the sources of raw materials are
legal and compliant.
Sustainable
Raw Materials
To ensure that suppliers actively fulfill their ESG responsibilities, AHB follows the Supplier Sustainable Procure-
ment Management Manual and conducts systematic sustainability surveys on suppliers using the Supplier
Audit Checklist. The survey covers 13 assessment items (child labor, forced labor, discrimination, working
hours and wages, business ethics, fire safety, chemical safety, equipment safety, dormitory and canteen,
environmental protection, management system, and red line items), comprising over 100 checkpoints.
The Procurement Center implements the following procedures during supplier admission and annual periodic
evaluations:
•Self-Assessment: New and key suppliers are required to complete a self-assessment form and submit
relevant supporting documents.
•On-Site Audit: The category procurement lead conducts on-site evaluations and scoring for each item, with
particular focus on basic human rights compliance and adherence to laws and regulations.
•Result Evaluation: Based on the comprehensive score (out of 100 points) and compliance with red line
items, suppliers are classified into grades ranging from A+ to D.
•Rectification and Re-Evaluation: Suppliers rated B or C must complete rectification within a specified
timeframe; suppliers rated D will have their business cooperation terminated.
Supplier
Sustainability
Investigation
We actively promote the localization of our supply chain, giving priority to sourcing raw materials and
services from areas surrounding our production bases. During the reporting period, we had a total of 1,177
production and operation suppliers. Our total local procurement4 amount reached RMB 343 million,
accounting for 79.05% of the total annual procurement amount.
Local
Procurement
Based on supplier management, we deeply integrate the concept of sustainability into our collaborations, prioritizing environ-
mentally friendly suppliers and products. We consistently uphold principles of human rights, labor rights, and social equity,
ensuring that every worker in our supply chain enjoys fair treatment and a safe working environment. We strongly oppose the
use of child labor or forced labor and consider it a key criterion for selecting suppliers. In 2025, we conducted child labor
screenings for some of our suppliers, and no violations were identified. Additionally, AHB has established the AHB Supplier
Code of Conduct, which sets comprehensive standards and imposes strict requirements on suppliers in areas such as quality,
business ethics, environment, and human rights.
Sustainable Supply Chain
AHB is accelerating the digital and information transformation, deeply integrating digital technologies with supply chain
management to fully unlock digital value. AHB has launched the SRM (Supplier Relationship Management) system, injecting
new momentum into supply chain management through digital means. During the reporting period, we continuously
optimized system functions to enhance supply chain transparency and collaboration efficiency, achieving full-process digital
coverage from supplier selection and cooperation management to performance evaluation. We are committed to building
equal, fair, and mutually beneficial partnerships with suppliers. Leveraging the dual integration of automation and information
technology, we have created a one-stop procurement platform that standardizes procurement processes, shortens procure-
ment cycles, improves procurement efficiency, reduces procurement costs, comprehensively optimizes all aspects of supply
chain management, and lowers communication costs with suppliers, driving the supply chain toward digital, intelligent, and
efficient development.
Digital Intelligence Supply Chain
AHB treats SMEs equitably throughout the entire process of supply chain management and business collaboration, adhering to
the principles of fairness, transparency, and openness in building an industrial ecosystem. In procurement and cooperation, we
strictly follow market rules and uphold business ethics, implementing unified standards in access criteria, pricing mechanisms,
and payment term management to protect the legitimate rights and interests of SMEs. During the reporting period, we continu-
ously improved our cost control and revenue-expenditure management systems, and no overdue payments to SMEs occurred.
Equal Treatment to SMEs
AHB is committed to deepening industry exchanges and cooperation, promoting the open sharing of technologies, resources,
and knowledge, and working with global partners to foster a healthy and orderly industry ecosystem. We aim to accelerate
scientific research and biotechnological innovation, continuously empowering the sustainable development of the industry.
Focus on Partner Cooperation and Development
Case
Case
Anhui Provincial biomanufacturing Industry Alliance Officially Established,
AHB Elected as the First Chairperson Unit
On September 12, 2025, the inaugural conference of the Anhui Provincial biomanufacturing Industry Alliance (hereinafter
referred to as "the Alliance") was successfully held in Hefei, Anhui Province. With the mission of "integrating and optimizing
industrial resources, strengthening industry-university-research collaborative innovation, breaking through key core technolo-
gy bottlenecks, expanding application scenario development, and promoting green economic transformation", the Alliance has
41 founding member units covering the entire biomanufacturing industrial chain. The conference reviewed and approved the
Alliance's charter, and unanimously elected AHB as the first Chairperson Unit. As the Chairperson Unit, AHB will lead the
Alliance in playing a bridging and bonding role, promoting industrial collaborative innovation, and driving the high-end, intelli-
gent, and green development of Anhui's biomanufacturing industry.
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4 Local procurement defined as procurement from suppliers registered in the same province as AHB.

Case
AHB Joined Anta Group's Sports Goods Industry Innovation Consortium
In November 2025, AHB joined the Sports Goods Industry Innovation Consortium led by Anta. As an innovative enterprise
focusing on the development of bio-based new materials and committed to synthetic biology R&D, AHB will contribute
advanced bio-based monomers and other materials and technologies to the Consortium. Through collaborative innova-
tion with consortium members, AHB will help drive the sports goods industry toward high-end, green, and technolo-
gy-enabled development, injecting new momentum into the Consortium's mission of "achieving industry breakthrough
and fostering win-win partnerships".
Case
Strategic Cooperation with Evonik to Expand the Global Animal Nutrition Market
AHB signed a Strategic Cooperation Memorandum with Evonik, a global chemical company, focusing on collaborative
development in the field of animal nutrition and health. Leveraging AHB's advantages in synthetic biology technology
and bio-based amino acid production capacity, combined with Evonik's industry experience and global marketing
network, the two parties complement each other's strengths and integrate resources to jointly provide green bio-based
amino acid products. This cooperation supports the low-carbon and sustainable development of the global animal
nutrition and feed industry, and accelerates the global deployment of green biomanufacturing technologies.
Signing Ceremony for New Members of the Sports Goods Industry Innovation Consortium
•Exhibition Communication
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Case
PISC 2025 Forum
On March 18, 2025, AHB presented at the PISC Forum held in the United States. The forum brought together leading
companies and industry leaders from the global feed and pet food ingredient sectors to discuss supply chain innovation,
sustainable development, and industry frontier trends. As one of the pioneering companies in the synthetic biology field,
AHB engaged in in-depth exchanges with international partners to promote innovative development of the global
bioeconomy. Our participation not only demonstrated AHB's international influence but also provided an important
opportunity for industry collaboration and technological advancement.
Case
CPHI China 2025
In June 2025, at the CPHI China 2025 exhibition, AHB showcased its breakthrough applications in green manufacturing
to global customers under the theme "Green Technology Empowering a New Industry Ecosystem". As a firm practitioner
of sustainable development, we attracted significant attention at the exhibition with our "Triple Zero" strategy. Our booth
not only presented technological achievements but also served as a platform for industry partners to discuss low-carbon
transformation. During the exhibition, we engaged in in-depth discussions with customers on innovative applications of
biomanufacturing technologies in pharmaceuticals, nutrition, materials, and other fields, further deepening their under-
standing of the full-chain quality control system and customized solution capabilities.
CPHI China 2025 Exhibition

Case
PU China 2025
From September 3 to 5, 2025, the 21st China International Polyurethane Exhibition (PU China 2025) was grandly held at
the Guangzhou Poly World Trade Center Expo. AHB made a remarkable appearance at the exhibition, showcasing its AH
Synova™ bio-based monomer products (1,3-PDO, succinic acid, etc.), providing high-quality raw materials and sustain-
able innovation solutions for application areas such as sustainable chemicals, bio-based materials, and pharmaceutical
intermediates, and demonstrating to global customers the innovative practices of bio-based materials in carbon reduc-
tion and emission mitigation.
The 21st China International Polyurethane Exhibition
Case
AHB Showcased Four Scenario-Based Solutions at Sports Nutrition Innovation Conference
From December 18 to 19, 2025, the 3rd Sports, Nutrition Food Technology and Application Innovation Conference was
held in Shanghai. AHB made a prominent appearance with the BIOSCENTIS™ series of innovative applications. Driven by
scenario-based needs, AHB launched four core nutrition solutions, injecting technological momentum into the sports
nutrition industry.
The 3rd Sports, Nutrition Food Technology and Application Innovation Conference
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Charitable Initiatives
AHB actively engages in charitable and public welfare activities, paying close attention to and supporting vulnerable groups in
society. AHB proactively makes donations and provides assistance to multiple public welfare institutions, schools, and disaster
relief organizations, thereby supporting educational development, community livelihood improvement, and emergency disaster
response through concrete actions, fulfilling our social responsibilities. During the reporting period, AHB donated a total of
RMB 1.97 million to organizations including the Anhui University Education Foundation, Inner Mongolia Hanggin Rear Banner
Fendou Middle School, Beijing Sunshine Health Foundation, Hefei Women and Children Care and Love Foundation, China
Nationality Culture Foundation, Hefei Women's Federation, Anhui Sino-German Education Cooperation Foundation, and the
Red Cross (for flood prevention and relief efforts). We firmly believe that every act of kindness and every effort will converge
into a force that makes society warmer and better.
Community Building
As a technology-driven enterprise rooted in the regional economy, AHB has established a community co-building and sharing
mechanism. Through industrial spillover effects, we continuously expand the supply of job opportunities, particularly by
cultivating new technical occupations in the biomanufacturing sector, helping to create a "happiness employment circle" right
at the doorsteps of local residents. Guided by the principle of full life-cycle carbon management, we integrate cleaner production
and circular economy concepts into every aspect of our operations, and work with local governments to explore a development
path that harmonizes industrial ecologicalization and ecological industrialization, providing a replicable low-carbon solution
for achieving regional Dual Carbon Goals.
Upholding the value of "technology for good", AHB has established a systematic public science education system, offering free
regular public lectures on safety, health, and first aid, as well as seminars on synthetic biology. This two-way empowering
corporate social responsibility practice not only strengthens the foundation for our sustainable development but also helps
build a new type of industry-agriculture, urban-rural relationship characterized by "thriving industries, sound ecosystems and
prosperous residents". Under the ESG governance framework, AHB writes a new chapter of responsibility for private enterprises
in the new era.
Contribute to Social Welfare
In 2025, AHB continues to regard social welfare initiatives as a core part of our corporate culture. While achieving steady
business operations and creating sustained economic value, we deeply integrate social responsibility into our development
strategy, proactively building mutually trusting and cooperative partnerships with the communities in which we operate. We
fulfill our corporate social responsibilities through concrete actions. By actively initiating and deeply participating in various
charitable and public welfare activities, we are committed to local social causes, striving to give back to society and promote
regional sustainable development, thereby realizing a true win-win situation for AHB and society. We firmly believe that every
small effort will eventually converge into a positive force for social change, and AHB is always dedicated to being a steadfast
practitioner of this force.
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Environmental, Social and Governance (ESG) Report

Laws and Regulations
Dimension
Applicable Laws
Civil Code of the People's Republic of China
Company Law of the People's Republic of China
Securities Law of the People's Republic of China
Accounting Law of the People's Republic of China
Criminal Law of the People's Republic of China
Anti-Monopoly Law of the People's Republic of China
Anti-Unfair Competition Law of the People's Republic of China
Law of the People's Republic of China on the Preservation of State Secrets
Basic Standards for Internal Control of Enterprises
Data Security Law of the People's Republic of China
Cybersecurity Law of the People's Republic of China
U.S. Foreign Corrupt Practices Act (FCPA)
U.S. Federal Trade Commission Act
U.S. Data Protection Act
EU General Data Protection Regulation (GDPR)
Law of the People's Republic of China on the Promotion of Cleaner Production
Environmental Protection Law of the People's Republic of China
Law of the People's Republic of China on Environmental Impact Assessment
Law of the People's Republic of China on Prevention and Control of Water Pollution
Law of the People's Republic of China on Prevention and Control of Atmospheric Pollution
Law of the People's Republic of China on the Prevention and Control of Environmental Pollution
by Solid Waste
Governance
Environmental
Law of the People's Republic of China on Prevention and Control of Soil Pollution
Law of the People's Republic of China on Prevention and Control of Noise Pollution
Regulations on the Safety Management of Hazardous Chemicals
Law of the People's Republic of China on Energy Conservation
Biosecurity Law of the People's Republic of China
Production Safety Law of the People's Republic of China
Emergency Response Law of the People's Republic of China
Copyright Law of the People's Republic of China
Advertising Law of the People's Republic of China
Fire Protection Law of the People's Republic of China
Law of the People's Republic of China on Tenders and Bids
Labour Law of the People's Republic of China
Labour Contract Law of the People's Republic of China
Employment Promotion Law of the People's Republic of China
Social Insurance Law of the People's Republic of China
Special Provisions on Labor Protection of Female Employees
Law of the People's Republic of China on the Protection of Minors
Law of the People's Republic of China on the Prevention and Control of Occupational
Diseases
Law of the People's Republic of China on Donations for Public Welfare
Social
Environmental
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Appendix
Dimension
Applicable Laws

Indicators
Unit
2025
ESG Key Performance Indicators
•Governance Performance
Corporate Governance
Number of Shareholders' Meetings held
Number of Proposals deliberated at Shareholders' Meetings
Number of Board of Directors Meetings held
Number of Proposals deliberated at Board of Directors Meetings
Total number of whistleblowing reports received
Anti-Bribery and Anti-Corruption
Corruption risk assessment coverage of operational sites
Corruption incidents
Timely rate of reported complaints
Anti-corruption training hours
Percentage of directors trained on anti-corruption competition
Percentage of management trained on anti-corruption competition
Percentage of general employees trained on anti-corruption
competition
Coverage rate of worksites/departments under business ethics risk
assessment
Coverage rate of worksites/departments in business ethics internal
audit
Anti-Unfair Competition
Amount of lawsuits and major administrative penalties related to
unfair competition
Total hours of anti-unfair competition training
Percentage of directors trained on anti-unfair competition
Percentage of management trained on anti-unfair competition
Percentage of general employees trained on anti-unfair competition
•Environmental Performance
Environmental Compliance Management
Environmental investment
Amount of major administrative penalties imposed by ecological
and environmental authorities due to environmental incidents
Percentage of employees trained on specific environmental issues
Percentage of operational sites with specific environmental risk
assessments
Percentage of operational sites with ISO 50001 Energy Manage-
ment System Certification
Percentage of operational sites with ISO 14001 Environmental
Management Systems Certification
Response to Climate Change
Percentage covered under emissionslimiting regulations
Scope 1 GHG emissions
Scope 2 GHG emissions
Total GHG emissions
GHG emission intensity
Energy Utilization
Coal
Natural gas
Liquefied petroleum gas
Diesel
Gasoline
Biomass fuel
Purchased electricity (non-renewable energy)
Purchased electricity (renewable energy)
Self-used on-site green power
Steam
million RMB
million RMB
%
%
%
%
%
tCO₂e
tCO₂e
tCO₂e
tCO₂e / million RMB revenue
tons
m³
tons
liters
liters
tons
MWh
MWh
MWh
GJ
37.28
0
88
100
60
100
0
293,122.36
205,141.94
498,264.30
174.11
162,364.03
2,750,924.00
15.06
158,667.49
33,367.10
46,559.16
322,450.18
176,339.54
3,049.66
78,897.35
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times
items
times
items
times
%
cases
%
hours
%
%
%
%
%
million RMB
hours
%
%
%

5
29
9
68
0
100
0
100
1,815
100
100
86
100
100
0
1,815
100
100
86
Indicators
Unit
2025

Indicators
Unit
2025
tons
tons
tons
tons
tons
tons / million RMB revenue
%
tons
tons
tons
tons
tons
tons
tons / million RMB revenue
tons
tons
tons
tons
tons
tons
%
90.95
10.90
9.99
128.51
62.68
0.02
0.00
0.00
0.00
62.68
0.00
0.00
95,715.64
33.45
6,445.44
0.00
3,405.59
10,669.99
75,194.62
6,445.44
6.73
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Total direct energy consumption
Total indirect energy consumption
Total comprehensive energy consumption
Comprehensive energy consumption intensity
Percentage of grid-purchased electricity in total electricity
consumption
Total self-generated electricity
Clean energy consumption
Percentage of renewable energy consumption
Water Utilization
Total water withdrawal
Percentage of water withdrawal in high or extremely high
baseline water stress
Total water consumption
Percentage of water consumption in high or extremely
high baseline water stress
Water consumption intensity5
Pollutant Emissions
Waste Gas
Nitrogen oxides (NOX)
Sulfur oxides (SOX)
Particulate matter (PM)
Volatile organic compounds (VOCs)
Hazardous air pollutants (HAPs)
•Hydrogen sulfide
•Mercury and its compounds
Wastewater
Total wastewater discharge
Wastewater discharge intensity
Total discharge of pollutants in water
Chemical oxygen demand (COD)
tce
tce
tce
tce / million RMB revenue
%
MWh
tce
%
million liters
%
million liters
%
million liters / million RMB revenue
tons
tons
tons
tons
tons
tons
tons
million liters
million liters / million RMB revenue
tons
tons
146,481.12
64,368.04
210,849.16
73.68
29.07
3,049.66
52,290.94
23.06
4,764.29
100
350.36
100
0.12
159.87
128.42
75.67
8.63
1.70
1.56
0.14
4,413.93
1.54
576.94
336.58
5 The accounting scope for water consumption intensity has been adjusted compared with last year. Water consumption intensity = total
water consumption / revenue per million RMB.
Indicators
Unit
2025
Total nitrogen (TN)
Total phosphorus (TP)
Ammonia nitrogen (NH₃-N)
Biochemical oxygen demand (BOD5)
Waste Management
Hazardous Waste
Total amount of hazardous waste discharge
Hazardous waste discharge intensity
Percentage of hazardous waste recycled
•Waste transferred from disposal (recycle)
•Waste for direct disposal (incineration, with energy recovery)
•Waste for direct disposal (incineration, without energy recovery)
•Waste for direct disposed (landfill)
•Waste for direct disposed (other operations)
Non-hazardous Waste
Total amount of non-hazardous waste discharge
Non-hazardous waste discharge intensity
•Waste transferred from disposal (recycle)
•Waste for direct disposal (incineration, with energy recovery)
•Waste for direct disposal (incineration, without energy recovery)
•Waste for direct disposal (landfill)
•Waste for direct disposal (other operations)
Circular Economy
Volume of waste recycled and reused
Proportion of waste recycled and reused

Employee Rights Protection
Total employees
•Male employees
•Female employees
•Management team (Grade 5 and above)
•Intermediate professionals (Grade 4)
•Junior professionals (Grade 1-3)
•Employees aged ≤30
•Employees aged 31–49
•Employees aged ≥50
•Employees in China (incl. Hong Kong, Macao, Taiwan)
•Employees in other countries
•Han ethnicity employees
•Other ethnic groups employees
Local management recruitment ratio
Female ratio in management
Labor contract signing rate
Social insurance coverage rate
Demobilized personnel
New hires
•New male hires
•New female hires
•New hires aged ≤30
•New hires aged 31–49
•New hires aged ≥50
Employee turnover rate
Employees eligible for parental leave
Employees took parental leave
Employees returned to work after taking parental leave
persons
persons
persons
persons
persons
persons
persons
persons
persons
persons
persons
persons
persons
%
%
%
%
persons
persons
persons
persons
persons
persons
persons
%
persons
persons
persons
2,252
1,641
611
160
270
1,822
754
1,442
56
2,246
6
2,043
209
53
27
100
100
67
531
378
153
277
249
5
11.57
137
137
137
•Social Performance
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Indicators
Unit
2025
Employee Training and Talent Development
Total annual training expenditures
Average training expenditure per employee
Total number of employees trained
Employee training coverage rate
•Number of male employees trained
•Number of female employees trained
•Number of management team (Grade 5 and above) trained
•Number of intermediate professionals (Grade 4) trained
•NumTotal employee training hours
Total employee training hours
•Total training hours for male employees
•Total training hours for female employees
•Total training hours for management team (Grade 5 and above)
•Total training hours for intermediate professionals (Grade 4)
•Total training hours for junior professionals (Grade 1-3)
Average training hours per employee
•Average training hours per male employee
•Average training hours per female employee
•Average training hours per management team (Grade 5 and above)
•Average training hours per intermediate professionals (Grade 4)
•Average training hours per junior professionals (Grade 1-3)
Total number of employees under performance and career development assessment
Percentage of employees under performance and career development assessment
Number of male employees under performance and career development assessment
Number of female employees under performance and career development assessment
Employees aged ≤30 under performance and career development assessment
Employees aged 31-49 under performance and career development assessment
Employees aged ≥50 under performance and career development assessment
million RMB
RMB
persons
%
persons
persons
persons
persons
persons
hours
hours
hours
hours
hours
hours
hours
hours
hours
hours
hours
hours
persons
%
persons
persons
persons
persons
persons
2.66
1,200
2,252
100
1,641
611
160
270
1,822
241,010
205,742
35,268
19,840
37,726
183,443
107.02
125.38
57.72
124.00
139.73
100.68
2,252
100
1,641
611
754
1,442
56
Indicators
Unit
2025

%
%
%
times
million RMB
times
hours
persons
persons
%
%
%
%
cases
%
cases
pieces
times
%
%
cases
cases
%
times
times
%
100
100
100
0
5.43
556
32,102
0
1,273
100
100
0
0.86
2
0.09
0
0
27
1.18
97.27
0
0
100
0
0
0
million RMB
%
persons
%
items
items
items
items
/
million RMB
%
/
%
/
%
/
%
/
%
/
%
persons
persons
%
151.20
5.28
285
12.66
310
100
88
122
1,177
343
79.05
820
69.67
763
64.83
103
8.75
820
70
763
65
30
30
100
105
106
PREFACE
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GOVERNANCE
GREEN
OPERATION
CRAFTSMANSHIP
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HUMANISTIC
CARE
Environmental, Social and Governance (ESG) Report
Indicators
Unit
2025
Indicators
Unit
2025
Percentage of employees trained on diversity, discrimination and harassment
Percentage of operational sites with human rights impact and risk assessment conducted
Percentage of operational sites with ISO 45001 Occupational Health and Safety Manage-
ment System Certification
Number of occurrences of child labour employment
Employee Health and Safety
Workplace safety investment amount
Total number of safety training sessions
Total safety training hours
Number of work-related fatalities
Number of occupational health examinations
Coverage rate of occupational health examinations
Percentage of operational sites with health & safety risk assessments
Lost time serious incident rate
Total recordable incident rate (TRIR)
Process Safety Incidents Count (PSIC)
Process Safety Incident Severity Rate (PSISR)
Safety and Quality of Products and Services
Incidents of non-compliance concerning the quality and safety impacts of products and
services
Number of products recalled for quality and safety reasons
Number of complaints due to quality and safety reasons
Rate of quality complaints
First-pass yield rate
Food safety incidents
Transportation incidents
Critical Control Points (CCP) monitoring effectiveness rate
Incidents of non-compliance concerning product and service information and labeling
Incidents of non-compliance concerning marketing communications
Percentage of products by revenue that contain genetically modified organisms (GMOs)
Innovation-Driveny
Total R&D investment
Ratio of R&D investment to main business revenue
Number of R&D employees
Ratio of R&D personnel to total company employees
Total valid patents
•Invention patents
•Utility model patents
•Others6
Supply Chain Security7
Total number of suppliers
Total procurement from local Suppliers
Local supplier procurement ratio
Number of target suppliers8 signed to Supplier Code of Conduct
Percentage of target suppliers signed the Supplier Code of Conduct
Number of target suppliers assessed for Corporate Social Responsibility (CSR)
Percentage of target suppliers assessed for CSR
Number of suppliers with on-site CSR audits
Percentage of suppliers with on-site CSR audits
Number of suppliers with environmental, labor and human rights contract clauses
Percentage of suppliers with environmental, labor and human rights contract clauses
Number of suppliers trained in ESG/sustainability
Percentage of Suppliers trained in ESG/sustainability
Number of procurement employees
Number of procurement employees trained on sustainable procurement
Percentage of procurement employees trained on sustainable procurement
6 "Others" refers to the number of trademarks and other rights acquired by AHB.
7 The statistical scope of all suppliers is defined as the number of production and operation suppliers.
8 Target suppliers refer to qualified production and operation suppliers.

Dimension
SSE Topic
Corresponding Chapter
Response to Climate Change
Pollutant Emissions
Waste Disposal
Ecosystem and Biodiversity Protection
Environmental Compliance Management
Energy Utilization
Water Utilization
Circular Economy
Rural Revitalization
Social Contribution
Innovation-Driven
Ethics of Science and Technology
Supply Chain Security
Equal Treatment to SMEs
Safety and Quality of Products and Services
Data Security and Customer Privacy Protection
Employees
Due Diligence
Stakeholder Communication
Anti-Bribery and Anti-Corruption
Anti-Unfair Competition
Implement Climate Action
Protect Ecological Balance
Protect Ecological Balance
Protect Ecological Balance
Protect Ecological Balance
Optimize Resource Recycling
Optimize Resource Recycling
Optimize Resource Recycling
No relevant special initiatives during the
reporting period; all charitable donations are
consolidated and disclosed in the Contribute to
Social Welfare chapter
Contribute to Social Welfare
Promote Research and Innovation
Promote Research and Innovation
Foster Collaborative Success with Partners
Foster Collaborative Success with Partners
Ensure Product Safety
Enhance Compliance Code
Gather Enterprising Talents
Enhance Compliance Code
ESG Development Strategy
Adhere to Business Ethics
Adhere to Business Ethics
Environment
Society
Governance
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Environmental, Social and Governance (ESG) Report
Content Index
•Index Based on the SSE Guidelines No.14
%
%
%
cases
times
persons
million RMB
100
100
100
0
4
1,339
1.97
Indicators
Unit
2025
Data Security and Customer Privacy Protection
Coverage percentage of worksites/departments under information security risk
assessment
Coverage percentage of worksites/departments via internal information security
audit
Percentage of operating sites certified with the ISO 27001 Information Security
Management System
Number of verified information security incidents
Number of information security training sessions conducted
Number of employees trained in information security
Social Contribution
Total amount of charitable donations

GRI Disclosure Title
Corresponding Chapter
GRI 2: General Disclosures 2021
2-1 Organizational details
2-2 Entities included in the organization's sustainability reporting
2-3 Reporting period, frequency and contact point
2-4 Restatements of information
2-5 External assurance
2-6 Activities, value chain and other business relationships
2-7 Employees
2-9 Governance structure and composition
2-10 Nomination and selection of the highest governance body
2-11 Chair of the highest governance body
2-12 Role of the highest governance body in overseeing the manage-
ment of impacts
2-13 Delegation of responsibility for managing impacts
2-14 Role of the highest governance body in sustainability reporting
2-16 Communication of critical concerns
2-18 Evaluation of the performance of the highest governance body
2-19 Remuneration policies
2-20 Process to determine remuneration
2-22 Statement on sustainable development strategy
2-27 Compliance with laws and regulations
2-29 Approach to stakeholder engagement
2-30 Collective bargaining agreements
GRI 3: Material Topics 2021
3-1 Process to determine material topics
3-2 List of material topics
3-3 Management of material topics
About this Report, About AHB
About this Report
About this Report
ESG Key Performance Indicators
Assurance Statement
Foster Collaborative Success with Partners
Gather Enterprising Talents
Strengthen Standardized Governance
Strengthen Standardized Governance
Strengthen Standardized Governance
ESG Development Strategy, Strengthen
Standardized Governance
Enhance Compliance Code
ESG Development Strategy
ESG Development Strategy
Please refer to the Annual Report
Please refer to the Annual Report
Please refer to the Annual Report
Message from the Management,
ESG Development Strategy
Laws and Regulations
ESG Development Strategy
Gather Enterprising Talents
ESG Development Strategy
ESG Development Strategy
ESG Development Strategy
GRI 101: Biodiversity 2024
101-2 Management of biodiversity impacts
GRI 201: Economic Performance 2016
201-1 Direct economic value generated and distributed
201-2 Financial implications and other risks and opportunities due to
climate change
201-3 Defined benefit plan obligations and other retirement plans
GRI 204: Procurement Practices 2016
204-1 Proportion of spending on local suppliers
GRI 205: Anti-Corruption 2016
205-1 Operations assessed for risks related to corruption
205-2 Communication and training about anti-corruption policies and
procedures
205-3 Confirmed incidents of corruption and actions taken
GRI 302: Energy 2016
302-1 Energy consumption within the organization
302-3 Energy intensity
302-4 Reduction of energy consumption
302-5 Reductions in energy requirements of products and services
GRI 303: Water and Effluents 2018
303-1 Interactions with water as a shared resource
303-2 Management of water discharge-related impacts
303-3 Water withdrawal
303-4 Water discharge
303-5 Water consumption
Protect Ecological Balance
Please refer to the Annual Report
Implement Climate Action
Gather Enterprising Talents
Foster Collaborative Success with Partners
Adhere to Business Ethics
Adhere to Business Ethics
Adhere to Business Ethics
Optimize Resource Recycling
Optimize Resource Recycling
Optimize Resource Recycling
Optimize Resource Recycling
Optimize Resource Recycling
Optimize Resource Recycling
Optimize Resource Recycling
Protect Ecological Balance
Optimize Resource Recycling
•GRI Content Index
Statement of use: AHB has reported in accordance with the GRI Standards for the period from 1 January 2025 to 31 December
2025.
Statement of use: AHB has prepared this report with reference to the Global Reporting Initiative (GRI) Sustainability reporting
109
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Environmental, Social and Governance (ESG) Report
GRI Disclosure Title
Corresponding Chapter

GRI 305: Emissions 2016
305-1 Direct (Scope 1) GHG emissions
305-2 Energy indirect (Scope 2) GHG emissions
305-4 GHG emissions intensity
305-5 Reduction of GHG emissions
305-7 Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant air
emissions
GRI 306: Waste 2020
306-1 Waste generation and significant waste-related impacts
306-2 Management of significant waste-related impacts
306-3 Waste generated
306-4 Waste diverted from disposal
306-5 Waste directed to disposal
GRI 308: Supplier Environmental Assessment 2016
308-2 Negative environmental impacts in the supply chain and actions
taken
GRI 401: Employment 2016
401-1 New employee hires and employee turnover
401-2 Benefits provided to full-time employees that are not provided to
temporary or part-time employees
401-3 Parental leave
GRI 403: Occupational Health and Safety 2018
403-1 Occupational health and safety management system
403-2 Hazard identification, risk assessment, and incident investigation
403-3 Occupational health services
403-4 Worker participation, consultation, and communication on
occupational health and safety
403-5 Worker training on occupational health and safety
403-6 Promotion of worker health
403-7 Prevention and mitigation of occupational health and safety
impacts directly linked by business relationships
403-8 Workers covered by an occupational health and safety manage-
ment system
Implement Climate Action
Implement Climate Action
Implement Climate Action
Implement Climate Action
Protect Ecological Balance
Protect Ecological Balance
Protect Ecological Balance
Protect Ecological Balance
Protect Ecological Balance
Protect Ecological Balance
Foster Collaborative Success with Partners
Gather Enterprising Talents
Gather Enterprising Talents
Gather Enterprising Talents
Gather Enterprising Talents
Gather Enterprising Talents
Gather Enterprising Talents
Gather Enterprising Talents
Gather Enterprising Talents
Gather Enterprising Talents
Gather Enterprising Talents
Gather Enterprising Talents
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Environmental, Social and Governance (ESG) Report
GRI Disclosure Title
Corresponding Chapter
GRI Disclosure Title
Corresponding Chapter
Gather Enterprising Talents
Gather Enterprising Talents

Gather Enterprising Talents
Gather Enterprising Talents
Gather Enterprising Talents

Strengthen Standardized Governance,
Gather Enterprising Talents
Gather Enterprising Talents,ESG Key
Performance Indicators

Gather Enterprising Talents

Foster Collaborative Success with
Partners

Ensure Product Safety
Ensure Product Safety

Ensure Product Safety
Ensure Product Safety
Ensure Product Safety

Enhance Compliance Code
403-9 Work-related injuries
403-10 Work-related ill health
GRI 404: Training and Education 2016
404-1 Average hours of training per year per employee
404-2 Programs for upgrading employee skills and transition assistance
programs
404-3 Percentage of employees receiving regular performance and career
development reviews
GRI 405: Diversity and Equal Opportunity 2016
405-1 Diversity of governance bodies and employees
GRI 408: Child Labor 2016
408-1 Operations and suppliers at significant risk for incidents of child labor
GRI 409: Forced or Compulsory Labor 2016
409-1 Operations and suppliers at significant risk for incidents of forced or
compulsory labor
GRI 414: Supplier Social Assessment 2016
414-2 Negative social impacts in the supply chain and actions taken
GRI 416: Customer Health and Safety 2016
416-1 Assessment of the health and safety impacts of product and service
categories
416-2 Incidents of non-compliance concerning the health and safety impacts
of products and services
GRI 417: Marketing and Labeling 2016
417-1 Requirements for product and service information and labeling
417-2 Incidents of non-compliance concerning product and service informa-
tion and labeling
417-3 Incidents of non-compliance concerning marketing communications
GRI 418: Customer Privacy 2016
418-1 Substantiated complaints concerning breaches of customer privacy
and losses of customer data

Topic
Code
Indicators
Corresponding Chapter
Topic
Code
Metric
Corresponding Chapter
•Sustainability Accounting Standards Board (SASB) Standards Content Index
Gross global Scope 1 emissions,
percentage covered under
emissions-limiting regulations
RT-CH-110a.1
Discussion of long- and short-term strategy
or plan to manage Scope 1 emissions,
emissions reduction targets, and an analysis
of performance against those targets
RT-CH-110a.2
(1) Total energy consumed,
(2) percentage grid electricity,
(3) percentage renewable and (4) total
self-generated energy
Energy
Management
RT-CH-130a.1
Optimize Resource
Recycling, ESG Key Perfor-
mance Indicators
(1) Amount of hazardous waste
generated, (2) percentage recycled
Hazardous Waste
Management
RT-CH-150a.1
Protect Ecological Balance,
ESG Key Performance
Indicators
(1) Total water withdrawn, (2) total
water consumed; percentage of each in
regions with High or Extremely High
Baseline Water Stress
RT-CH-140a.1
Optimize Resource
Recycling, ESG Key Perfor-
mance Indicators
Number of incidents of non-compliance
associated with water quality permits,
standards and regulations
RT-CH-140a.2
Protect Ecological Balance
Description of water management risks
and discussion of strategies and practices
to mitigate those risks
RT-CH-140a.3
Optimize Resource
Recycling, Prioritize Sustain-
able Products
Greenhouse Gas
Emissions
Implement Climate Action,
Protect Ecological Balance,
ESG Key Performance
Indicators
Discussion of engagement processes to
manage risks and opportunities associat-
ed with community interests
Community
Relations
RT-CH-210a.1
ESG Development Strategy,
Protect Ecological Balance,
Gather Enterprising Talents,
Contribute to Social Welfare
(1) Total recordable incident rate (TRIR)
and (2) fatality rate for (a) direct
employees and (b) contract employees
RT-CH-320a.1
ESG Key Performance
Indicators
Description of efforts to assess, monitor,
and reduce exposure of employees and
contract workers to long-term (chronic)
health risks
RT-CH-320a.2
Gather Enterprising Talents
Water
Management
Workforce Health
& Safety
Revenue from products designed for
use-phase resource efficiency9
Product Design for
Use-phase
Efficiency
RT-CH-410a.1
No relevant numbers
Percentage of products by revenue that
contain genetically modified organisms
(GMOs)
Genetically
Modified Organ-
isms
RT-CH-410c.1
ESG Key Performance
Indicators
(1) Percentage of products that contain
Globally Harmonised System of
Classification and Labelling of Chemi-
cals (GHS) Category 1 and 2 Health and
Environmental Hazardous Substances,
(2) percentage of such products that
have undergone a hazard assessment
RT-CH-410b.1
Prioritize Sustainable
Products
Discussion of corporate positions related
to government regulations or policy
proposals that address environmental
and social factors affecting the industry
Management of
the Legal &
Regulatory
Environment
RT-CH-530a.1
Message from the
Management, Protect
Ecological Balance
Production by reportable segment
Activity Metric
RT-CH-000.A
For details, please refer to
the Production and Sales
Volume Analysis Table in the
annual report.
Discussion of strategy to (1) manage
chemicals of concern and (2) develop
alternatives with reduced human or
environmental impact
RT-CH-410b.2
Protect Ecological Balance,
Prioritize Sustainable
Products
Number of transport incidents
RT-CH-540a.2
ESG Key Performance
Indicators
Process Safety Incidents Count (PSIC),
Process Safety Total Incident Rate (PSTIR),
and Process Safety Incident Severity Rate
(PSISR)
RT-CH-540a.1
ESG Key Performance
Indicators
Safety & Environ-
mental Steward-
ship of Chemicals
Operational
Safety, Emergency
Preparedness &
Response
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Environmental, Social and Governance (ESG) Report
Air emissions of the following pollutants:
(1) NOx (excluding N₂O), (2) SOx, (3)
volatile organic compounds (VOCs), and
(4) hazardous air pollutants (HAPs)
Air Quality
RT-CH-120a.1
Protect Ecological Balance,
ESG Key Performance
Indicators
9 As of the end of the reporting period, the statistical calibers for relevant indicators remain a work in progress and are not yet aligned to a
reportable standard.

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Environmental, Social and Governance (ESG) Report