新希望六和披露2025年可持续发展报告

Message
from the Chair
Party Building Efforts
Corporate Governance
Sustainable Development Governance
Risk and Compliance Management
Business Ethics
Tax Transparency
Information Security and Privacy
Protection
Opening
Main body
Closing
05
06
01
09
10
14
18
20
23
24
29
32
34
38
40
45
48
51
56
61
73
74
80
81
85
87
About New Hope Liuhe
Sustainable Development Strategies and Progress
Special Feature：Embracing AI to Unlock New
Quality Productive Forces in Agriculture
New Technologies: Building a Full-Chain AI-Enabled
Intelligent Ecosystem
New Models: Reshaping the Agricultural Value Chain
About This Report
Key Performance Table
Indicator Index Table
Feedback Form
Enabling Employee Growth
Empowering Farmers
Caring for Society
Sustainable Agriculture
Sustainable Operations
Addressing Climate Change
Ecosystem and Biodiversity
Conservation
R&D in Nutrition and Health
Advancing Smart Farming
Rigorous Quality and Safety Control
Service Quality Enhancement
Supply Chain Management
1
2
3
4
02
03
05
Efficient Governance
Strengthening the Foundation
for Development
Premium Products for
Accessible Nutrition
and Health
Green Industry for a Thriving
Natural Ecosystem
Value Co-creation for
Common Prosperity
CONTENTS
Quality inspection of chicks at New Hope
Indonesia's poultry breeding base before
delivery to farmers. — This projectwas selected for the 70th
Anniversary Exhibition of the Bandung
Conference and the China-Indonesia Economic
and Trade Cooperation Achievements
Exhibition in 2025.

Message from the Chair
Mission
Message from the Chair
114.2
106.9
29.74
17.55
Vision
426
97
103
66
3
354
02
New Hope Liuhe Co., Ltd.2025 Sustainability Report
Strengthening Development Resilience Through Innovation and Fulfilling Corporate Mission
Through Responsibility
Dear colleagues, shareholders, partners, and friends from all sectors of
society,
Greetings to you all!
Looking back on 2025, international trade was marked by uncertainty,
China’s economy embarked on a new journey of development, and the
energy revolution accelerated the transition toward a greener future.
Meanwhile, the rapid rise of AI reshaped industries across the board.
The agriculture and animal husbandry industry in which we operate
also accelerated the integration of new technologies, the launch of
new products, the exploration of new channels, and expansion into
new markets, embracing a future filled with both opportunities and
challenges. As a fully integrated enterprise connecting fields to dining
tables, New Hope Liuhe has remained committed to its mission of
“profiting farmers and benefiting food consumers” while responding
to the changes and challenges of the times. Guided by our “wartime
culture,” we pursued progress while maintaining operational stability:
our Feed Sector maintained its global leadership position, the Pig Sector
steadily reduced costs and improved efficiency, and our Overseas Sector
achieved rapid growth. At the same time, the direction of our “Tree of
Hope” ESG strategy became even clearer, and this report presents our
sustainability practices and achievements over the past year.
Advancing Through Innovation to Strengthen Development Resilience
We fully embraced the “AI + Agriculture” landscape and leveraged digital
and intelligent transformation to drive business innovation. Through the
self-developed “Pig Chip” and the establishment of industry partnerships,
we continued to strengthen our capabilities in breeding technologies.
The “Zhu Xiaoxin” intelligent operation platform not only supports our
own lean management, but also helps partner farmers improve efficiency
and reduce costs. Driven by scientific and technological innovation,
we continued to strengthen the resilience of corporate development.
During the year, the Company received nine provincial-, ministerial-,
and municipal-level science and technology awards, while 11 national
and industry standards led by the Company officially came into effect.
The number of users on our feed e-commerce platform exceeded
100,000. Through full-chain quality control covering breeding, feeding,
slaughtering, and processing, we achieved a 100% pass rate in market
inspections throughout the year, providing consumers with safer,
healthier, and more customized product choices.
Moving Toward a Greener Future Through Low-Carbon Development
We continued to optimize our energy structure and accelerate the
transition toward clean energy. During the year, newly grid-connected
photovoltaic installed capacity reached 4.42 MW, while installed energy
storage capacity reached 0.26 MWh. Total operational photovoltaic
installed capacity reached 19.64 MW, with an additional 27.57 MW under
construction. We also actively promoted the circular agriculture model
integrating crop farming and livestock breeding. During the year, 16.32
million tonnes of treated water were recycled for farmland use, and
around 98,800 tonnes of fermented organic fertilizer were produced.
The Company cumulatively secured certified carbon emission reduction
credits totaling 925,100 tonnes. Across our various business segments,
we conserved a total of 748,400 tonnes of grain through feed formula
optimization, breeding improvements, and scientific feeding practices.
Through concrete actions, we continued to bring the philosophy that
“lucid waters and lush mountains are invaluable assets” into practice and
deliver tangible results.
Growing Together for a Better and More Harmonious Future
We strive to balance economic and social value creation, ensuring that
the Company’s development benefits a broader range of stakeholders.
Through industry-driven development, we cooperated with 2,900 farming
households during the year, with total contract farming settlement
payments exceeding RMB 2.03 billion and average earnings per
household surpassing RMB 960,000. In talent cultivation, the fifth “Village
Head Course” was successfully held, where I shared with more than
100 participants insights on enduring through industry downturns with
long-term commitment and resilience. We also remained dedicated to
public welfare initiatives. In the 10th season of the Hope and Wish Plan,
we established reading rooms for children in mountainous areas, while
the Warm Winter Campaign entered its 12th year by delivering down
jackets to kindergartens in high-altitude regions. Continuing the legacy
of the Guangcai Program, our women’s training initiative in Bangladesh
achieved its target of training 9,000 participants, while the first cohort of
100 female trainees in Egypt successfully completed their programs. From
the earthquake in Myanmar to flooding in Indonesia and typhoons in
Vietnam, New Hope Liuhe employees actively provided disaster relief and
assistance to communities in need, allowing the spirit of the Guangcai
Program to take root overseas and contributing a Chinese example of
“common prosperity” both at home and abroad.
Deep roots nurture flourishing branches, and strong foundations
support lasting growth. Looking back over the past three years, the
industry has yet to fully emerge from difficult times, and we continue
to persevere through challenges while building strength for the future.
Yet like a winding snake steadily moving forward, we remain firmly
committed to progress. Standing at the new starting point of the 15th
Five-Year Plan period, New Hope Liuhe will continue to uphold its
corporate responsibilities, strengthen resilience through technological
innovation, reinforce its foundation through sound governance, and
earn trust through superior products. We will remain committed to green
development and shared value creation as we work together with all
stakeholders to build a brighter future for the sustainable development of
the agriculture and animal husbandry industry and contribute to people’s
aspirations for a better life.
About New Hope Liuhe
New Hope Liuhe (SZ.000876) is the largest operating industrial segment of New Hope Group. The Company was listed on the Shenzhen Stock
Exchange in 1998. Rooted in the agriculture and animal husbandry industry, the Company’s core businesses include feed production, pig farming, and
meat processing. As one of the leading enterprises in agriculture industrialization, we leverage our influential role to drive broader impacts, committed
to building a safe and healthy broader food industry value chain by integrating resources globally. Our operations span across China and extend to 15
countries, including Vietnam, the Philippines, Indonesia, Singapore, and Egypt, all aimed at supporting people's aspirations for a better life.
Corporate Culture
Profiting farmers and benefiting
food consumers
We aim to become a globally trusted supplier and integrated service provider of
high-quality protein and food by offering safe, reliable, and demand-oriented
products and services.
Becoming a leader in farming and
food industries
We leverage our role as a leading enterprise in agricultural industrialization to
integrate global resources and build a safe and healthy food industry chain. At the
same time, we support farmers in increasing their income, meet consumer demand
for safe meat products, and contribute to social progress and development.
Industry Position
New Hope Group Co., Ltd.
2025 Fortune Global 500
Ranked
Ranked
Ranked
Ranked
Ranked
Ranked
th
th
th
rd
rd
th
2025 China Top 500 Enterprises
2025 Hurun China 500
Selected for the fourth
consecutive year as one of the
2025 Fortune Most Admired
Chinese Companies.
New Hope Liuhe Co., Ltd.
2025 China’s Top 500 Private
Enterprises
2025 China’s Top 500 Private
Manufacturing Enterprises
2025 Sichuan Top 100 Private
Enterprises
Recognized as a Technology
Innovation Model Enterprise
by the Sichuan Feed Industry
Association
Operating Performance
Total assets: RMB billion
RMB billion
Operating revenue:
Feed sales volume:
million tonnes
Pig output:
million heads

41
AAA
AA
Star Unit for Serving Rural Revitalization
Sustainability Strategy and Progress
Sustainability Strategy and Progress
Guided by its “Tree of Hope” ESG strategy, New Hope Liuhe is systematically integrating the framework into business decision-making and day-to-
day operations. Anchored in the principles of consolidating its foundation, driving sustainable growth, and empowering its broader ecosystem, the
Company is committed to serving as a trusted corporate citizen that co-creates shared value and builds a common future alongside all stakeholders.
The Tree of Hope ESG Strategy
Strategic
Dimension
UN SDGs
Material Topic
Key Performance Indicators
Consolidating
the Foundation
Deep
Roots:
Human Capital Development
New employment created: 7,954
Female representation in management roles: 16.07%
Average training hours per employee: 26.6
Corporate Governance
and Business Ethics
Resolution rate of valid reports: 100%
Employee anti-corruption training hours: 60,300
Supplier Sunshine Cooperation Agreement signing rate: 100%
Flourishing
Branches:
Driving Growth
Product Responsibility
Quality training participation: 5,468 person-times
Market inspection pass rate: 100%
Product recalls and negative product incidents: 0
Average customer satisfaction score: 98.5
Market spot check pass rate: 100%
Digitalization and
Technological Innovation
R&D investment: RMB 191.35 million
Science and technology innovation platforms at various levels: 54
Cumulative valid patents: 1,361
Sustainable Supply Chain
Total qualified suppliers: 4,261
Suppliers qualified through desk/on-site evaluations: 3,169
Supply chain digital platform launch rate: 100%
Ecological Farming
Total investment in environmental protection: RMB 150.60 million
Fermented manure produced: 98,800 tonnes
Reclaimed water returned to farmland: 16.32 million tonnes
Climate Change Response
Biological carbon sequestration: 157,500 tCO2e
Operational PV power generation: 15.60 million kWh
Total certified carbon emission reduction credits: 925,100 tonnes
GHG emission intensity: 12.10 tCO2e/RMB million revenue
Abundant
Leaves:
Empowering
the Ecosystem
Promoting Nutritional
Accessibility
Completed comprehensive carcass grading of mainstream black pig
breeds, improving the premium-grade slaughter rate by over 10%
Led or contributed to the development of 3 national standards,
6 industry standards, and 2 group standards for feed and meat
products, all of which came into effect in 2025
Community Engagement
and Rural Development
Grain saved through formula substitution and science-based
feeding: 748,400 tonnes
Total fostering fees settled over RMB 2.03 billion; average profit per
household over RMB 960,000
Awards and Recognitions
Award/Recognition
Issuing Authority
Selected for the Best Practice Cases for Sustainable Development
of Listed Companies in China for three consecutive years
China Association for Public Companies
Outstanding Case of Fulfilling Corporate Social Responsibility in the
Livestock Industry (2020-2024)
China Animal Agriculture Association
Outstanding Unit in Feed Grain Reduction
Sichuan Association of Feed Industry
Sichuan Association of Feed Industry
2025 ESG Practice Innovation Case for Chinese Enterprises with
Global Operations
People’s Daily Overseas Edition, All-China Environment Federation,
and China Quality Certification Center
2025 Outstanding Case of Fulfilling Corporate Social Responsibility
China Food News, China Non-staple Food Circulation Association
Outstanding Case of Food Safety Management (2024-2025)
China Food Safety Conference
ESG Ratings
S&P Global Corporate Sustainability
Assessment (CSA)
A year-over-year increase of 13 points
CNI Index ESG Rating
Wind ESG Rating
04
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Special Feature:
Intelligent weight estimation
equipment at the China Animal
Husbandry Expo — drawing interest
from domestic and international
attendees
Special Feature
Embracing AI
to Unlock New
Quality Productive
Forces in
Agriculture
On February 23, 2025, China unveiled its “No. 1 central document” for 2025, outlining the priorities
for further deepening rural reforms and taking solid steps in advancing all-around rural revitalization.
The document marked a significant policy milestone by incorporating “new quality productive forces
in agriculture” into the national strategic agenda for the first time, signaling a firm commitment
to technology-driven agricultural modernization. As a leading enterprise in China’s agricultural
industrialization sector, New Hope Liuhe has positioned itself at the forefront of this national agenda
by deepening its engagement in the “AI + modern agriculture” space. The Company has embedded AI
across the full value chain of pig farming operations, harnessing digital and intelligent transformation
to modernize traditional livestock production, and translating corporate strategy into tangible action
in support of China’s broader agricultural modernization goals.
New Technologies:
Building a Full-Chain
AI-Enabled Intelligent
Ecosystem
New Hope Liuhe has systematically explored the application of large language models (LLMs) across
its operations, integrating data from key production stages (e.g., breeding, feeding, slaughtering,
processing) to drive intelligent capabilities across critical value chain functions, including genetic
improvement, animal husbandry, health monitoring, and commercial sales. This has given rise to an
intelligent operational ecosystem structured around three core dimensions: operations, health, and
measurement, delivering scalable, practically deployable AI solutions in support of the pig farming
industry’s high-quality development.
Breeding Improvement
In 2025, New Hope Liuhe partnered with China Agricultural University and Huazhong Agricultural
University to jointly develop the Xinxiwang 60K High-Density Solid-Phase SNP Chip. By integrating
key functional genomic loci with the distinctive genetic resources of indigenous Chinese pig breeds,
the chip overcomes longstanding limitations of conventional breeding methodologies and enables
precise identification of pig breeds and kinship relationships. It provides foundational technological
support for the conservation of indigenous pig genetic resources, breed purification and restoration
programs, and the commercialization of superior genetic traits. Deployed at scale across the
Company’s core breeding farms, the chip improves selection accuracy for key economic traits (e.g.,
growth performance, reproductive capacity, meat quality) by 20% to 30% and accelerates genetic
improvement outcomes. By connecting three core technological pillars, namely genomic breeding
technology, intelligent breeding algorithms, and AI-enabled phenotypic measurement, the chip
underpins a fully integrated, closed-loop system that follows the workflow of genomic profiling, AI-
driven phenotype capture, algorithmic breeding value estimation, and end-to-end selection and
mating decisions. This represents a fundamental shift in the Company’s breeding paradigm, from
traditionally experience-based approaches to a data intelligence-driven model.
The Xinxiwang 60K High-Density
Solid-Phase SNP Chip
Feed Formulation
The Company has developed a multi-dimensional nutritional parameter optimization model that
measurably improves feed conversion rates and supports animal health outcomes. Complementing
this, an intelligent ingredient substitution algorithm drawing on real-time raw material market pricing
and nutritional composition matrices enables dynamic cost structure optimization. A formulation
efficacy prediction model further allows the Company to assess with precision how different
nutritional combinations affect animal growth performance and health status, resulting in improved
feed utilization efficiency and enhanced economic returns across farming operations.
Pig Farming Operations
The Company’s AI models continuously analyze operational data to dynamically adjust key production
parameters, including stocking density and daily feed allocation, enabling precise nutritional delivery while
driving measurable gains in production efficiency. Networked feed tower weighing equipment supports
refined daily feed management, facilitating the timely identification of anomalies in feed intake and animal
health status, and contributing to improvements in the feed-to-meat ratio. Network-connected feed
tower coverage has reached close to 100% for contract farming operations and approximately 50% for
self-operated fattening units.
Building on a digital twin platform and operational robotics capabilities, the Company is progressively
advancing toward unmanned or minimally staffed farm management. An AI-powered piglet crushing
prevention system has been developed, utilizing computer vision technology and postural sensors
to monitor high-risk sow behaviors, such as rising and lying down, in real time. The system enables
immediate alerts and automatic farrowing crate adjustment upon detecting risk events. Since pilot
deployment, nursing piglet mortality attributable to crushing has been reduced by approximately 10%.
Health Management
The Company has deployed cough monitoring devices across its farms to enable early detection of,
and timely intervention in, respiratory diseases in pigs. The system maintains a 100% alert response
rate for medium-risk alerts within seven days and for high-risk alerts within three days. Intelligent
ultrasound devices operating at an accuracy rate exceeding 95% support precise reproductive
assessment and non-invasive health screening, with stored data providing a reliable audit trail for
operational decision-making and traceability purposes. In parallel, the Company has developed
an industry-specific AI Veterinary Model trained on open-source LLM frameworks, establishing a
Inventory Management,
Weight Estimation, and
Live Pig Measurement
The Company has independently developed the AIoT-based NH Channel Inventory and Estimation
System, a solution that addresses a range of operational scenarios including sales inventory
estimation for fattening pigs, piglet transfer and outbound head counts, and in-unit weight
estimation for fattening pigs. The system operates through a cloud, edge, and endpoint collaborative
architecture, resolving key challenges inherent in large-scale farm management.
To support meat quality enhancement, the Company has developed a Live Pig Intramuscular Fat
Content Detection System, underpinned by a suite of independently developed measurement
software applications. This initiative has enabled intelligent, automated phenotypic measurement
of breeding stock while achieving domestic substitution of previously imported software tools. The
system simultaneously advances animal welfare standards and delivers measurable improvements
in the accuracy, throughput, and scale of phenotypic data collection. By the end of 2025, live pig
intramuscular fat measurement had achieved full coverage, reaching 100%, across all core breeding
farms.
At the 4th Digital Intelligence Conference of Animal Husbandry (2025), the AIoT-based NH Channel
Inventory and Estimation System was recognized as an Outstanding Case, while the Live Pig
Intramuscular Fat Content Detection System received recognition as an Exemplary Case.
New Models: Reshaping
the Agricultural Value
Chain
New Hope Liuhe harnesses AI as a core strategic driver, integrating digital and intelligent
technologies across three interconnected dimensions: enterprise-wide operational management,
core business performance enhancement, and industrial ecosystem value sharing. Through this
approach, the Company is fundamentally reshaping the agricultural value chain and accelerating the
evolution of its digital intelligence capabilities, transitioning from isolated, single-point applications
toward comprehensive, enterprise-wide enablement.
Intelligent Operations
The Company has deployed LLMs to drive a comprehensive transformation of its operational
management framework. Through an AI-powered business analytics platform, management teams
can query core performance indicators and industry trends in real time, reducing data retrieval and
knowledge lookup times from hours to seconds and materially strengthening decision-making
agility across the organization. AI-driven review mechanisms and quality inspection capabilities have
been embedded across key functional areas, including procurement, sales, shared financial services,
and taxation, establishing end-to-end, closed-loop risk governance. This integration has delivered
efficiency gains of over 100% in business processing across these functions.
In the area of pig farming, the Company has consolidated internal platform data, IoT sensor data,
and production and sales records within a dedicated Pig Planning and Operations Platform. The
platform enables real-time monitoring and visualization of pig inventory, daily feed intake, growth
performance, and cost metrics. Drawing on AI-powered analytics, farm managers are equipped to
make timely, data-informed adjustments to feeding strategies and resource allocation, contributing to
measurable reductions in farming costs and supporting broader quality and efficiency improvements
across the agricultural value chain.
Intelligent Sales
The Company has integrated AI capabilities across both online auction and offline trading channels
for pig transactions. AI systems analyze historical transaction records, unsold lot data, and live market
conditions to identify the key factors behind unsold auction lots and dynamically refine pricing
strategies. Optical character recognition (OCR) technology is applied to weigh-bridge photographs,
enabling weight data extraction at millisecond speeds with an accuracy rate of 96.3%, effectively
eliminating manual errors and reducing the risk of fraudulent activity at the point of data capture.
Visual recognition technology further supports pig counting and live weight estimation, achieving an
accuracy rate of 99%, and collectively enhancing transaction efficiency, data integrity, and operational
accountability. These capabilities are brought together through the Company’s proprietary Jubaozhu
platform, which provides a fully integrated, end-to-end trading model spanning online auctions and
offline transaction fulfillment. By the end of the reporting period, Jubaozhu had extended its reach
to pig sales operations across 25 provinces, earning recognition from customers nationwide for its
improved transactional transparency, accessibility, and integrity.
comprehensive AI-assisted clinical workflow spanning preliminary disease diagnosis, diagnostic
report interpretation, and treatment recommendation. This capability is embodied in the AI
veterinary assistant “Zhu Xiaoxin,” which integrates three core functions: professional knowledge
Q&A, AI-assisted diagnosis and treatment support, and live consultation with qualified veterinary
specialists. The platform additionally supports epidemiological data analysis and statistical reporting,
strengthening the Company’s disease surveillance and prevention capabilities.
06
New Hope Liuhe Co., Ltd.2025 Sustainability Report

1
09
10
14
18
20
23
24
Sustainability Report
New Hope Liuhe Co., Ltd.
2025
Efficient Governance
Strengthening the
Foundation for
Development
Chapter Content
Party Building Efforts
Corporate Governance
Sustainable Development Governance
Risk and Compliance Management
Business Ethics
Tax Transparency
Information Security and Privacy Protection
Contribute to the UN 2030
Sustainable Development Goals (SDGs)
In 2025, New Hope Liuhe released the Guidelines for Overseas Local Talent
Development and launched the Global Mid-level Training Program, promoting the
coordinated advancement of talent development and corporate governance.

10
New Hope Liuhe Co., Ltd.2025 Sustainability Report
2025
Party Building Efforts
Guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, New Hope Liuhe continued to advance its Party building
mechanism centered on “strict coverage, standardized governance, and integrated collaboration,” promoting closer integration and mutual
reinforcement between Party building efforts and the Company’s core businesses.
Enhancing Organizational Development
To ensure the continuity and standardization of Party Committee operations, the Company further optimized the leadership structure of both the
Company’s Party Committee and the Party Committee of the Group, by-elected one Party Committee Secretary, and actively advanced the by-election
of vacant committee positions in directly affiliated Party branches. These efforts ensured well-structured grassroots Party organizations with clearly
defined responsibilities, providing stable organizational leadership for the Company’s sustainable development. At the same time, the Company
continued to strengthen the localized development of Party organizations across its subsidiaries and branches. It conducted comprehensive reviews
of independently established and jointly established Party organizations, achieving dynamic updates and centralized management of Party member
information. As of the end of 2025, the Company had established one Party Committee and 74 Party branches, managing a total of 2,798 Party
members, including 812 Party members who are military veterans. The breadth of Party organization coverage and the depth of Party management
continued to expand, providing a solid organizational foundation for the Company’s corporate governance system.
In addition, to standardize fund management and strengthen governance effectiveness, the Company formulated and piloted the Measures for the
Administration of Party Building Activity Funds for Directly Affiliated Party Branches of the Party Committee of New Hope Liuhe Co., Ltd. (2025) in
2025. The measures clarified fund utilization procedures and approval mechanisms, further enhancing transparency and standardization in resource
management.
Strengthening Ideological Foundations
The Company continued to deepen theoretical learning and ideological education, strictly implementing the “First Agenda” mechanism and consistently
strengthening the “Four Consciousnesses,” reinforcing the “Four Confidences,” and upholding the “Two Upholds.” In 2025, the Company carried out
regular educational activities centered on the spirit of the Eight-point Decision. It organized patriotic education activities such as collective viewings of
the September 3 military parade, which comprehensively enhanced Party members’ political awareness and overall perspective. These initiatives guided
Party members to put sustainable development concepts into practice in their daily work.
Deepening Integration with Business Operations
The Company’s Party Committee promoted innovation in joint Party building mechanisms by organizing collaborative Party building activities with
organizations including the Sichuan Provincial Department of Science and Technology, Yonghao Foundation, and the Chengdu Branch of China
Merchants Bank. These initiatives facilitated cross-departmental and cross-sector resource sharing and experience exchange, supporting coordinated
progress on key ESG topics such as technological innovation, public welfare and charity, and green finance. The Company also actively participated in
community Party building and anti-corruption initiatives and strengthened collaboration and interaction with local Party organizations. These efforts
helped foster a clean and integrity-driven corporate culture and strengthened the Company’s trust and cooperation with local communities.
The Company has promoted cultural development through Party building and strengthened brand development through corporate culture. Its self-
produced Party education film Guardians Above the Clouds received second prizes at both the Sichuan provincial and Chengdu municipal levels and
was featured on official media platforms, which further enhanced the recognition and influence of the Company’s Party building brand.
Election of the Party Committee Secretary
Joint Party building activities
Corporate
Governance
New Hope Liuhe strictly complies with relevant laws and regulations, including the Company Law
of the People’s Republic of China , the Securities Law of the People’s Republic of China, the Code
of Corporate Governance for Listed Companies , the Rules Governing the Listing of Stocks on the
Shenzhen Stock Exchange , and the Shenzhen Stock Exchange Self-Regulatory Guidelines No. 1—
Standardized Operations for Companies Listed on the Main Board. The Company has established a
sound and well-structured corporate governance system, laying a solid foundation for its long-term
development.
The Company has established a corporate governance structure centered on the General Meeting
of Shareholders, the Board of Directors, and the management team, with clearly defined hierarchical
responsibilities and governance functions. In 2025, in accordance with the requirements of the
Company Law of the People’s Republic of China, the Securities Law of the People’s Republic of China,
and the Guidelines for the Articles of Association of Listed Companies issued by the China Securities
Regulatory Commission, New Hope Liuhe completed revisions to its Articles of Association . The
Company abolished the Board of Supervisors, with its original supervisory responsibilities assumed by
the Audit Committee under the Board of Directors, and added employee representative directors to
further improve the corporate governance structure.
General Meeting of Shareholders
Workers’ Congress
Board of Directors
Independent Directors
Strategy and Sustainable Development
Committee
Audit Committee
Nomination Committee
Remuneration and Appraisal Committee
Risk Control Committee
Employee Representative Directors
Management Team
Number of general meetings of
shareholders held throughout the
year: 4
Number of Board meetings held
throughout the year: 10
Resolutions Passed
Resolutions passed at
shareholders’ meetings: 21
Resolutions passed at Board
meetings: 48
Board of Directors
Board Effectiveness
The Board of Directors serves as the Company’s core decision-making body and operates through five
specialized committees: the Strategy and Sustainable Development Committee, the Audit Committee,
the Nomination Committee, the Remuneration and Appraisal Committee, and the Risk Control
Committee. Leveraging their respective professional expertise, these committees support the Board
in overseeing the Company’s operations and management activities. During the reporting period,
the Board consisted of nine directors, providing broader perspectives and more comprehensive
analysis for Board discussions and decision-making. The Board maintained standardized and
efficient operations throughout the year and convened Board and specialized committee meetings in
accordance with applicable laws and regulations. Attendance at Board meetings remained at 100%,
which ensured the integrity and timeliness of decision-making procedures. Board members strictly
fulfilled their duties of loyalty and diligence. None of the directors concurrently served as directors of
more than three listed companies, effectively avoiding excessive external appointments and potential
conflicts in fulfilling their responsibilities. This enabled directors to maintain dedicated focus on
Company affairs and support high-quality decision-making. Detailed information regarding Board
composition, fulfillment of directors’ duties, the composition and operation of specialized committees,
shareholder and actual controller information, and related-party transactions can be found in the
New Hope Liuhe Co., Ltd. 2025 Annual Report.
In accordance with the requirements of the Articles of Association , the Company has established
a clear accountability mechanism governing directors’ performance of duties, and no limitations
or exemptions from directors’ liabilities are in place. The Articles of Association also specify the
Company’s and shareholders’ rights to hold directors accountable and seek compensation. Any gains

Chairperson Liu Chang
Female
✓
✓




✓
Director
Zhang Minggui Male
✓
✓

✓


Director
Li Jianxiong
Male
✓



✓

Director
Yang Fang
Female


✓ ✓


Director and President Tao Yuling
Male
✓
✓



✓

Pang Yundong
Male

✓
✓ ✓ ✓ ✓
Independent Director Wang Jiafen
Female
✓

✓


✓
Independent Director Xie Jiayang
Female

✓

✓ ✓

Independent Director Li Tiantian
Female
✓





✓
Board Independence
Board Skills and Diversity
Female
4
Male
5
3
2
4
1
7
1
Corporate Governance
derived from short-swing trading by directors belong to the Company, and the relevant responsible
parties bear joint liability accordingly. The Company has not established any provisions exempting
directors from liabilities arising from intentional misconduct or gross negligence, nor has it set any
cap on liability compensation. In addition, directors’ and officers’ liability insurance does not cover
intentional violations of laws or fraudulent conduct, and related liabilities remain the responsibility of
the individuals concerned, thereby ensuring alignment between responsibilities and accountability.
The Company has also established a Board performance evaluation system. The Remuneration and
Appraisal Committee conducts duty performance reviews and annual performance evaluations for
non-independent directors and senior management. Evaluation results comprehensively consider
multiple factors, including performance of duties, professional capabilities, and the Company’s
operating results. The Company also strengthened its internal restraint and accountability mechanisms.
The Risk Control Committee is responsible for pursuing economic or administrative accountability
in cases involving dereliction of duty by directors or senior executives. During the reporting period,
performance evaluations were conducted for Board members, covering 100% of Board members.
Average tenure of Board members:
4
years
Specialized committees of
the Board of Directors
Proportion of
Independent
Number of
Meetings Held
Board Member
Attendance Rate
Strategy and Sustainable
Development Committee
25%
40%
67%
60%
60%
100%
100%
100%
100%
0
1
4
1
4
——
Risk Control Committee
Audit Committee*
Remuneration and Appraisal Committee*
Nomination Committee*
Note: * indicates that an independent director serves as the committee chair.
New Hope Liuhe fully recognizes the independent director system as an important safeguard for
promoting standardized operations of listed companies, protecting the overall interests of listed
companies, and safeguarding the lawful rights and interests of minority investors. In accordance
with the requirements of the Measures for the Administration of Independent Directors of Listed
Companies , the Company has formulated and effectively implemented the Working System
for Independent Directors and the Annual Report Working System for Independent Directors .
Independent directors are selected and appointed in strict compliance with the qualification
requirements and appointment procedures stipulated in the Working System for Independent
Directors, ensuring that qualified experts and authoritative professionals are able to fully perform their
roles in corporate governance.
The Company currently has three independent directors, accounting for 33.33% of the Board, none of
whom hold shares in the Company in any form. In addition, no independent director has served for
more than six years. Independent directors do not directly participate in the Company’s day-to-day
management, which helps reduce the risk of conflicts of interest and strengthens the Board’s checks
and balances mechanism. Independent directors constitute the majority of the Audit Committee,
Nomination Committee, and Remuneration and Appraisal Committee under the Board of Directors,
and also serve as chairpersons of these committees, ensuring the objectivity and fairness of Board
decision-making. The Company provides independent directors with sufficient working conditions
and personnel support to facilitate the performance of their duties. It regularly updates independent
directors on operational developments and provides relevant materials to safeguard their right to
information, ensuring they have access to adequate resources and necessary professional advice in
carrying out their responsibilities.
To further safeguard Board independence and reduce risks associated with related-party transactions,
the Company has clearly defined the review standards, approval procedures, and voting requirements
for related-party matters in the Articles of Association. In December 2025, the Company also revised
its Internal Control System for Related-Party Transactions , which provides detailed provisions on
related-party identification, pricing mechanisms for related-party transactions, approval authorities,
and other relevant matters, ensuring that related-party transactions are conducted in accordance
with the principles of fairness, transparency, and impartiality.
To further strengthen Board diversity practices, New Hope Liuhe has clearly defined the selection
and appointment procedures for directors and senior management in the Articles of Association,
the Rules of Procedure for the Board of Directors , and the Detailed Rules for Specialized Board
Committees. Diversity is incorporated into the selection process through comprehensive consideration
of candidates’ educational background, industry experience, professional expertise, and career
experience, helping maintain an appropriate balance of capabilities, skills, experience, gender, age,
and cultural and educational backgrounds within the Board.
The current Board consists of nine directors whose ages span from those born in the 1950s to the
1980s. Board members possess diverse professional backgrounds and extensive theoretical knowledge
and practical experience in fields including economics, business administration, accounting, animal
husbandry, and sustainable development. Their expertise enables them to provide professional
guidance and forward-looking recommendations on financial decision-making, compliance operations,
risk prevention and control, and strategic development planning. Two directors on the Audit Committee
are accounting professionals, and the committee is chaired by independent director Ms. Xie Jiayang,
who holds qualifications as a Certified Public Accountant of China, Certified Tax Agent of China, and
Senior Accountant, with 38 years of experience in financial auditing. Independent director Ms. Wang
Jiafen previously served as Chairwoman of Bright Dairy and Vice Chairwoman of Ping An Trust, bringing
extensive experience in corporate operational risk and investment management. Director Ms. Yang
Fang, as the Group’s Chief Financial Officer, possesses comprehensive expertise in financial risk control
and capital management. Employee representative director Pang Yundong has extensive experience
in financial management and risk control within the feed business. His professional background and
practical experience provide strong support for the Board’s risk-related decision-making. Through
well-established governance arrangements and the professional performance of directors’ duties,
the Company continues to improve the scientific rigor and standardization of Board decision-making,
strengthening its ability to identify, prevent, mitigate, and respond to risks effectively.
Gender Composition
of the Directors
Age Distribution
of Directors
60 years and
above
50-59 years old
40-49 years old
Educational Background
of the Directors
Doctoral degree
Master’s degree
Bachelor's
degree
and below
Professional Backgrounds of Board Members
Position
Name
Gender
Strategic
Planning
Industry
Experience
Risk
Management
Financial
Accounting
Law
Technology
R&D
Sustainable
Development
Employee Representative
Director
Remuneration and
Performance Evaluation
New Hope Liuhe has established a standardized remuneration management mechanism for directors.
In accordance with the revised Code of Corporate Governance for Listed Companies , the Company
has further strengthened remuneration management requirements to ensure that remuneration-
related decision-making procedures are compliant, transparent, and accountable. Remuneration plans
for directors are formulated by the Remuneration and Appraisal Committee of the Board of Directors,
with comprehensive consideration given to factors including fulfillment of duties, work performance,
and the Company’s operating results. The plans are subject to review and approval by the Board of
Directors before being submitted to the General Meeting of Shareholders for approval and disclosed in
accordance with relevant regulations, ensuring transparent and standardized management procedures.
To better align individual interests with the Company’s long-term development, the remuneration
structure for the President and senior management consists of fixed compensation, short-term
performance incentives, and long-term equity incentives. A balanced mix of cash compensation and
equity-based incentives is maintained to support alignment between short-term operating targets
and long-term value creation. Variable performance incentives are closely linked to quantitative KPIs.
Company-level performance indicators account for 60% of the weighting and include core financial
metrics such as revenue, net profit, and asset-liability ratio. Operational excellence indicators account
for the remaining 40%, covering areas including workplace safety, environmental compliance, food
safety management, and digitalization and information system development. Individual performance
KPIs and compliance and risk management performance are also incorporated into the evaluation
process to ensure a strong performance-oriented remuneration framework. At the beginning of each
year, annual performance targets are established with reference to leading industry benchmarks, while
year-end assessments measure the achievement rate of these targets. Actual remuneration payouts
12
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Ownership of Directors
and Senior Management
Investor Rights
Protection
162
54
142.65
105.27
73.50
119.92
73.50
12.27
6.80
3.76
0.09
4.52
1.04
0.47
2,155,452
400,000
582,500
10,800
360,000
135,000
38,000
Corporate Governance
are closely linked to operating performance and sustainability responsibilities, reinforcing a strong
pay-for-performance approach. The Company has also established remuneration deferral and risk
adjustment mechanisms. Part of the performance-based compensation for the President and senior
management is deferred until completion of the following year’s performance audit. In years subject
to significant market volatility, bonus reserve pools and deferred payment mechanisms are adopted to
balance incentive intensity across different reporting periods. Bonuses already allocated are retained
on a rolling basis and released in stages following comprehensive assessments in the subsequent year.
This mechanism helps avoid excessive short-term behavior and promotes a dynamic balance between
short-term incentives, long-term risk management, and sustainable value creation.
At the long-term incentive level, the Company has established dedicated equity and stock option
incentive plans for senior management and key core talent. The vesting of restricted shares is linked
to both Company-level performance targets and individual performance evaluation results, with
tiered unlocking coefficients designed to encourage senior management to fulfill their responsibilities
effectively. According to the 2022 Restricted Stock Incentive Plan and the Performance Evaluation
Management Measures, if Company-level performance targets or individual performance evaluations
fail to meet required standards, the corresponding vesting coefficient will be reduced or reduced to
zero. Restricted shares that have been granted but fail to meet vesting conditions are repurchased and
cancelled by the Company at the grant price. During the reporting period, the Company repurchased
and cancelled restricted shares that failed to meet vesting conditions due to underperformance
against assessment targets or the resignation of incentive recipients. This mechanism effectively links
executive remuneration with Company performance and individual performance outcomes, creating a
substantive clawback effect for performance-based compensation.
The Company has formulated the Rules Governing Shares Held and Changes in Shareholdings by
Directors and Senior Management in accordance with relevant laws, regulations, and the Articles of
Association. The rules standardize the declaration, lock-up, reduction, and disclosure of Company
shares held by directors and senior management, further strengthening the alignment between
management performance and the Company’s long-term development.
Name
Shareholding at Year-end
(Shares)
Total Pre-tax Remuneration in
2025 (RMB 10,000)
Multiple of Annual
Compensation¹
Liu Chang
Zhang Minggui
Tao Yuling
Pang Yundong
Wang Pusong
Li Shuang
Yan Qiubo
Note: The shareholding multiple of
annual remuneration for directors and
senior management is calculated as
follows: year-end share price × number
of shares held by directors and senior
management ÷ annual remuneration
of directors and senior management.
The market value of shareholdings in
this table is calculated based on the
closing price of RMB 9.22 per share as
of December 31, 2025.
New Hope Liuhe attaches great importance to investor relations management. As the Company’s
decision-making body, the Board of Directors is responsible for providing direction and oversight
for investor relations management, while the Board Secretary oversees the planning, coordination,
and organization of related work. The Office of the Board of Directors is responsible for daily investor
communication and information disclosure. The Company strictly complies with relevant laws and
regulations, including the Guidelines for Investor Relations Management of Listed Companies, and
has formulated the Investor Relations Management System. It has established a comprehensive
investor relations management mechanism to effectively safeguard shareholders’ rights and interests.
In 2025, the Company updated and revised the Investor Relations Management System to further
strengthen the protection of investor rights and interests.
Information Disclosure
The Company has established and strictly implemented the Information Disclosure System , which
sets out the fundamental principles and standards for information disclosure, procedures for the
preparation and disclosure of periodic and ad hoc reports, responsibilities for information disclosure
management, confidentiality management for inside information, mechanisms for internal reporting
of major information, circumstances for deferred or exempted disclosure, and accountability
mechanisms. Together, these measures form a comprehensive information disclosure governance
system covering the entire disclosure process. During the reporting period, the Company’s
information disclosure did not involve any false records, misleading statements, material omissions, or
other improper disclosure practices.
Safeguarding Minority Investors’ Rights and Interests
To fully protect the rights and interests of minority investors, the Company stipulates in its Articles
of Association that when the General Meeting of Shareholders reviews significant matters affecting
minority investors’ interests, votes cast by minority investors must be counted separately and the
voting results disclosed in a timely manner. The Company also places particular emphasis on creating
opportunities for minority investors to participate in corporate activities. A combination of on-site
voting and online voting is adopted at shareholders’ meetings, making full use of modern information
technology to facilitate shareholder participation. Dedicated Q&A sessions for minority investors
are also included in meeting agendas to actively solicit opinions and suggestions from minority
shareholders.
Diversified Communication Channels
To enhance investors’ understanding and recognition of the Company, the Company has established
diversified communication channels, including telephone hotlines, email, the Shenzhen Stock Exchange
Interactive EasyIR platform, on-site investor research activities, performance briefings, securities firms’
strategy conferences, reverse roadshows, and large-scale exhibitions such as industrial expos. Through
these channels, the Company maintains active, effective, and constructive communication with
investors and other stakeholders, which helps foster positive interactions between the Company and
the investment community.
Cash dividend per share:
RMB 0.024
Periodic reports disclosed:
5
Ad hoc announcements disclosed:
126
Investor communication events held:
10
Attendance at investor
communication events:
327
Investor hotline calls answered:
over 600
Responses to investors on the
EasyIR platform:
187
Sustainable
Development
Governance
Sustainable
Development
Governance Framework
New Hope Liuhe has established and consistently improved a three-tier sustainable development
governance structure comprising the “Oversight–Management–Execution” levels under the leadership of
the Board of Directors, promoting the effective implementation of the Company’s ESG and sustainable
development initiatives. During the reporting period, the Company organized dedicated sustainable
development training sessions for middle and senior management, covering topics including the
Shenzhen Stock Exchange sustainability disclosure guidelines, ESG rating benchmarking analysis, and ESG
management capability enhancement. These programs helped management deepen their understanding
of the Company’s ESG strategies and practices and further promoted the effective implementation of ESG
initiatives. In addition, the Board of Directors convened dedicated meetings to review and confirm key ESG
matters, materiality assessment results, and the achievement of ESG targets.
Organizational Structure
Responsibilities
Oversight
Level
Board of Directors
Reviews and approves the Company’s medium- and long-term development plans, corporate strategies, ESG vision and
objectives, ESG plans and initiatives, and major ESG matters, and assumes responsibility for their effectiveness.
Strategy and Sustainable
Development Committee
Provides guidance on and reviews the Company’s overall ESG philosophy, ESG management performance targets,
implementation plans, major projects, and the identification and prioritization of ESG topics. The committee oversees
and reviews progress toward ESG targets, provides recommendations on actions required to achieve these targets, and
reports relevant matters to the Board of Directors.
It also reviews and approves the Company’s annual sustainability report to ensure alignment with the expectations and
requirements of investors, regulators, and other stakeholders.
Management
Level
ESG Management and
Supervisory Group
The group is led by the Board Secretary and consists of senior management personnel from functional departments
related to ESG matters.
It is responsible for formulating ESG strategies, identifying and managing ESG opportunities and risks, assessing the
materiality of ESG matters and incorporating them into business considerations, establishing ESG targets and plans, and
periodically reviewing ESG performance.
Execution
Level
ESG Working Group
Supports the ESG Management and Supervisory Group in carrying out ESG-related work, including formulating ESG
objectives, strategic plans, and annual work plans; coordinating ESG risk and opportunity assessments and ESG topic
identification; working with functional departments and subsidiaries to develop and monitor action plans; and coordinating
ESG-related information disclosure.
Functional Departments and
Subsidiary Companies
Composed of personnel from functional departments and subsidiaries involved in ESG-related work.
Responsible for implementing specific ESG-related tasks, formulating ESG action plans, managing ESG-related
indicators, and collecting and reporting ESG information.
14
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Stakeholder Communication
ESG Materiality
Assessment
Step 1
Step 2
Step 3
Sustainable Development Governance
New Hope Liuhe attaches great importance to stakeholder engagement and has established
diversified communication channels tailored to different stakeholder groups. These channels help the
Company better understand stakeholder expectations and feedback and continuously improve its
sustainable development management. During the reporting period, the Company actively promoted
constructive communication with stakeholders, responded proactively to their key concerns, and
continuously optimized its management practices related to relevant ESG matters.
Stakeholders
Issues of Concern
Communication Channels
Government and
Regulatory Bodies
Compliance and risk management
Pollution and waste management
Water use and management
Climate change and energy management
Biodiversity protection
Rural revitalization and social contribution
Production safety and occupational health
Product quality and safety
Community relations management
Government meetings
Special reports
On-site visits
Information delivery
Shareholders and Investors
Corporate governance
Investor rights protection
Business ethics and anti-corruption
R&D innovation and technology ethics
Customer service management
Information disclosure
General Meeting of Shareholders
Results briefings
Investor communication platform
Investor meetings and research visits
Customers
Product quality and safety
Intellectual property protection
Responsible marketing
Customer service management
Environmental management system
Compliance and risk management
Information and data security
Daily operational communication
Official communication channels
After-sales service and feedback
Customer satisfaction surveys
Suppliers & Partners
Supply chain management
Digital transformation
Business ethics and anti-corruption
Compliance and risk management
Industry cooperation and development
Information and data security
Strategic cooperation
Thematic training sessions
Market research
Special meetings
Industry exchanges
Employees
Employee training and development
Employee rights and benefits
Production safety and occupational health
Compliance and risk management
Business ethics and anti-corruption
Official WeChat of the Company
Workers' congress
Employee activities
Community and the Public
Product quality and safety
Animal welfare protection
Pollution and waste management
Eco-circular farming
Biodiversity protection
Rural revitalization and social contribution
Community relations management
Community communication
Media interaction
Industry forums
Information disclosure
Public welfare volunteer activities
Double Materiality Analysis
Identification of Material Issues
New Hope Liuhe continued to apply the material issue identification results and management
approach established in 2024. Detailed information regarding the material issue identification and
assessment process can be found in the New Hope Liuhe Co., Ltd. 2024 Sustainability Report. The
Company will continue to monitor changes in its internal operations and external environment. Where
significant adjustments or periodic updates become necessary, material issues will be reviewed
and optimized in a timely manner to ensure continued alignment with the Company’s sustainable
development practices and stakeholder expectations.
Double Materiality
Assessment Process
Identification of
ESG Issues
With reference to macroeconomic policies, industry standards, and internal and external development trends,
the Company identified 25 general and industry-specific sustainability topics.
Stakeholder
Communication and
Materiality Analysis
Following the principle of double materiality, the Company conducted surveys among key stakeholder groups
to assess both impact materiality and financial materiality, developed a materiality matrix, and determined
annual priority topics.
Issue Validation and
Reporting
A materiality matrix was established based on the dual dimensions of impact materiality and financial
materiality. The matrix was reviewed and confirmed by the Strategy and Sustainable Development Committee
of the Board of Directors together with external experts, based on which issue priorities and key disclosure
topics were determined.
16
New Hope Liuhe Co., Ltd.2025 Sustainability Report
Product quality and safety
Production safety and occupational health
Customer service management
Supply chain management
Responsible marketing
Rural revitalization and
social contributions
Employee rights and benefits
Community relations
management
Intellectual property protection
Ensuring Animal Welfare
Information and data security
Employee training and development
Industrial cooperation and development
R&D innovation and
technology ethics
Biodiversity conservation
Pollution and waste
management
Environmental
management system
Eco-circular farming
Water use and management
Climate change and
energy management
Digital transformation
Protection of investor
rights and interests
Compliance and risk management
Business ethics and anti-corruption
Corporate governance
Significance of Impact on the Company's Financial Performance
Materiality Matrix of New Hope Liuhe
Significance of Impact on Economic, Environmental, and Social Sustainability
Governance dimension
Environmental dimension
Social dimension
low
high
high

✓
✓
✓
✓
✓
✓
✓
✓
✓
✓
✓
✓
✓
✓
✓
✓
✓
Governance
New Hope Liuhe strictly adheres to all applicable laws and regulations, including the Company Law
of the People’s Republic of China , the Securities Law of the People’s Republic of China , the Basic
Internal Control Norms for Enterprises, and the Application Guidelines for Enterprise Internal Control.
In accordance with these requirements, the Company has established and continuously refined a
comprehensive suite of internal governance policies, including the Management System for Internal
Controls and the Management Measures for Accountability (Trial). These policies collectively foster a
sound internal environment that supports effective risk control and efficient operations, providing a
reliable foundation for sustainable, long-term development.
The Company has implemented a multi-tiered risk and compliance governance structure. Under the
Board of Directors, a Risk Control Committee has been established to assume oversight and decision-
making authority on material matters related to enterprise-wide risk management. A dedicated Risk
Control Taskforce operates under the Committee to coordinate and advance day-to-day risk management
activities. At the operational level, the Company has institutionalized a Three Lines of Defense model to
systematically identify, prevent, and mitigate a broad range of operational risks.
Risk Management
Risk Identification and Control
Sustainable Development Governance
Risk and Opportunity Analysis of Material Issues
The Company conducted a comprehensive review of the scope, duration, risks, and opportunities
associated with key sustainability topics and formulated corresponding response strategies to
strengthen risk management and proactively capture development opportunities, thereby supporting
the Company’s sustainable development.
Double
Materiality
Issues
Scope of Impact
Upstream
of the
Value
Chain
Company
Operations
Downstream
of the
Value
Chain
Communities Impact
Duration
Risks and Opportunities
Response Strategy
Product Quality
and Safety
Long-term
Long-term
Establishing a sound quality management
system for feed production and pig farming
processes helps ensure the delivery of
high-quality products to customers and
contributes to expanding market share.
Quality issues may lead to significant
economic losses, including potential
product recalls.
Develop a comprehensive food safety management
system to cover the entire value chain, including
raw material sourcing, production control, quality
inspection, product and sales management, and
personnel training.
Develop a full-process digital quality management
platform to strengthen product traceability
management.
For more information, please refer to the "Rigorous
Quality and Safety Control” section.
Customer
Service
Management
Deterioration in customer relationships may
lead to customer attrition, thereby affecting
the Company’s market performance.
Strong customer relationships support
business growth and create new business
opportunities.
Continue to enhance service quality by enriching
pre-sale, in-sale, and after-sale service offerings,
implement tiered and categorized customer
management, and ensure smooth communication
channels.
Conduct regular customer satisfaction surveys,
establish a complaint handling process, and respond
promptly to customer feedback.
For more information, please refer to the
"Improving Service Quality” section.
Supply Chain
Management
Medium- to
long-term
ESG-related risks in the supply chain may
lead to supply chain instability and disrupt
the Company’s production and operations.
Inadequate sustainability due diligence in
the supply chain may lead to issues such
as human rights violations and negative
environmental impacts, potentially
damaging the Company's social image and
reputation.
Improve supply chain management by incorporating
ESG factors into supplier evaluation and selection.
Refine supply chain risk analysis models and
assessment mechanisms to continuously identify and
monitor procurement-related risks.
Promote sustainable development practices among
suppliers.
For more information, please refer to the "Supply
Chain Management" section.
Employee
Rights and
Benefits
Short-term
Violations of employees’ legitimate rights
and human rights may reduce morale
and productivity, ultimately affecting the
Company’s market competitiveness and
economic performance.
Non-compliance with labor laws and
regulations may expose the Company to
fines and legal proceedings, damaging its
social image.
Continue improving internal management systems
covering ethical conduct, prevention of violence and
conflict, prohibition of forced labor, fair employment
and diversity, anti-discrimination, working hours, and
leave management to safeguard employees’ lawful
rights and interests.
Provide diversified employee benefits, employee
engagement activities, and timely assistance
programs in addition to statutory benefits to enhance
employee well-being.
For more information, please refer to the "Employee
Rights and Well-being" section.
Compliance
and Risk
Management
Short- to
medium-
term
Non-compliance and inadequate risk
management may result in financial losses,
legal disputes, and reputational risks for
the Company.
Establish a “three lines of defense” risk management
system under the coordination of the Risk Control
Committee of the Board of Directors, strengthen
specialized audits, and improve the standardization
and effectiveness of risk management and control.
Strengthen the tax management system and
continuously enhance tax compliance capabilities.
For more information, please refer to the “Risk and
Compliance Management" section.
Information
and Data
Security
Short- to
medium-
term
Information and data breaches may violate
relevant laws and regulations, resulting in
compliance risks, financial losses such as
fines, and infringement of customer rights,
thereby undermining customer trust in the
Company.
Ensuring information and data security
helps strengthen relationships between
the Company and its customers.
Improve the information security management
system, and strengthen data control and
cybersecurity protection.
Standardize information confidentiality practices and
enhance employee awareness of information security.
For more information, please refer to the
"Information Security and Privacy Protection"
section.
Note: Impact duration is categorized as short-term (1–3 years), medium-term (3–5 years), and long-term (more than 5 years).
Risk and
Compliance
Management
Individual business operating entities
are responsible for implementing
internal risk control measures and
for identifying, assessing, and
responding to risks encountered in
the course of day-to-day business
activities.
First Line
of Defense
Second Line
of Defense
Risk management functions within each
business operating entity, together with
functional departments at the corporate
headquarters, are responsible for
designing internal risk control frameworks
and for providing oversight and guidance
to the First Line of Defense.
Third Line
of Defense
The Audit and Supervision Department is responsible
for post-facto audits and internal accountability
investigations. Cases involving potential criminal
conduct are referred to the appropriate judicial
authorities. This line of defense safeguards the overall
effectiveness of the Company’s risk management and
internal control system.
Strategy and
Management Approach
The Company has established a systematic internal risk control framework anchored by two
complementary pillars: institutional policies and technological tools. At the policy level, the Company
has developed a series of internal regulations, including the Food Safety Red Line Management Rules,
the Interim Management Measures for Feed Quality and Safety Audits, and the Management Measures
for Livestock and Poultry Breeding Quality and Safety Audits. These policies clearly define management
responsibilities, authorization and approval procedures, and operational protocols for key control points,
establishing a robust foundation for risk prevention and control. At the technology level, the Company has
developed a risk indicator dashboard built on advanced risk modeling capabilities, currently covering 29
risk indicators across core business modules including sales, procurement, production, and finance. This
dashboard strengthens end-to-end monitoring and control across all operational processes, materially
enhancing overall risk management effectiveness.
Risk Category
Risk Description and Potential Impact
Impact Profile
Likelihood
Severity
Mitigation Strategy
Significant Risks
International Supply
Chain and Raw Material
Price Volatility
Feed raw material costs typically account for more than
90% of total feed production costs. In 2025, significant
shifts in the international political, trade, and economic
environment have contributed to upward price pressure on
key agricultural commodities, including corn and soybean
meal. Such volatility may result in feed supply shortages
and cost escalation, posing material risks to livestock
farming profitability.
High
High
High
High
High
High
The Company manages this risk through centralized raw
material procurement, bonded processing arrangements,
and strategic sourcing of alternative inputs. To strengthen
supply chain resilience, the Company has established
a global supply network in partnership with strategic
suppliers both domestically and internationally, while
actively developing high-quality local sourcing channels.
Supply chain financing mechanisms are also utilized to
further mitigate exposure to international supply chain
disruptions and commodity price fluctuations.
Livestock and Poultry
Price Volatility
Livestock and poultry prices are subject to significant
fluctuations driven by production capacity adjustments,
disease outbreaks, and shifts in consumer confidence.
The industry currently remains in a cyclical downturn
phase, compounded by growing substitution from plant-
based protein alternatives. These dynamics have placed
pressure on farming profitability and may give rise to asset
impairment and cash flow risks.
The Company addresses this risk by strengthening internal
management practices and implementing cost reduction
and efficiency improvement initiatives to enhance the
competitiveness of its farming operations. The Company
also continues to deepen its integrated value chain
presence across feed production, livestock farming, and
slaughtering and processing, enabling operational hedging
across business segments and reinforcing its overall market
position.
Environmental, Health,
and Safety Risks
The revised Regulations on Pollution Prevention and
Control in Livestock and Poultry Farming, effective in 2025,
have raised environmental compliance requirements across
the industry. Failure to maintain compliant environmental
facilities or the occurrence of pollution incidents could
expose the Company to regulatory penalties, operational
suspensions, and adverse impacts on its creditworthiness,
financing capacity, export activities, and ESG ratings.
The Company is optimizing its existing business portfolio by
transitioning toward feed marketing models and deepening
partnerships focused on environmentally compliant farming
practices, while actively promoting ecological and high-
efficiency farming approaches. In parallel, the Company is
expanding its farming resource base through diversified
development models for new farming facilities, ensuring a
stable and sustainable supply of livestock resources.
18
New Hope Liuhe Co., Ltd.2025 Sustainability Report

The Company has conducted comprehensive operational performance audits across all sectors,
carried out targeted special audits to address significant operational risks, and completed process
audits and settlement reviews for major capital projects. Closed-loop management of audit
rectification has been further solidified, with the audit rectification completion rate approaching
100%. The Company has also reinforced accountability mechanisms for violations and intensified
legal enforcement actions to eliminate illicit benefit-sharing arrangements within its operations.
A total of 15 performance audits, 4 internal control audits, 17 other special audits, and 30
supervisory and inspection audits were completed during the reporting period. In addition, 26
unannounced inspections of engineering projects and 6 settlement review audits were conducted.
Internal accountability proceedings were initiated in 11 cases involving 96 individuals, resulting
in the prevention and recovery of losses totaling RMB 87.74 million.
Internal Controls
and Compliance
Governance
Risk and Compliance Management
Risk Category
Risk Description and Potential Impact
Impact Profile
Likelihood
Severity
Mitigation Strategy
Risk Identification and Control
Emerging Risks
Artificial Intelligence
(AI) Risks
The Company’s expanding deployment of AI across
applications including intelligent operations management,
farming digitalization, and supply chain management
introduces a range of emerging risks, including data security
vulnerabilities and potential data breaches, algorithmic
decision-making bias, over-reliance on technology systems,
and compliance and ethical governance challenges.
Low
Low
Medium
Medium
The Company is strengthening security controls across
the full data lifecycle, establishing iterative optimization
mechanisms for AI models, enhancing system operations
and emergency response capabilities, and maintaining
strict adherence to compliance and ethical standards, with
the objective of ensuring that all AI applications operate in
a safe, compliant, and reliable manner.
Gene Editing and
Breeding Ethics
Risks
The application of gene editing technologies in animal
breeding introduces risks related to ecological safety,
ethical controversy, divergent public perception, and
increasingly stringent regulatory requirements. These
factors may attract heightened public and media scrutiny,
introducing uncertainty into the Company’s technology
deployment and commercialization efforts.
The Company strictly complies with applicable domestic
and international ethical standards and regulatory
requirements. A comprehensive ethical review process and
biosafety management framework have been established
to govern all relevant activities. The Company is also
committed to proactive information disclosure and public
science communication, and will advance the R&D and
application of gene editing technologies in a measured and
fully compliant manner.
The Company is committed to building a comprehensive, high-impact, and fully integrated internal
compliance and supervisory control framework. Through a dual-driven approach combining
institutional development and audit oversight, the Company systematically advances its internal
compliance practices to support operational excellence across all business activities.
Deepening
Institutional
Development
The Company has continued to strengthen its policy framework across key governance domains,
including internal audit, related-party transactions, treasury management, and information
disclosure. The Internal Audit Management System and the Internal Control System for Related-
Party Transactions have each been revised to further clarify audit responsibilities and authorities
and to standardize the governance of related-party transactions. In response to evolving capital
market compliance requirements, the Company has also enhanced a series of dedicated policies,
including the Management Measures for the Use of Raised Funds and the Accountability System
for Material Errors in Annual Report Disclosure . These updates establish clear and actionable
provisions governing critical areas such as fund utilization and information disclosure, ensuring
that all business activities are conducted in accordance with established standards and operate in
a compliant and orderly manner.
Strengthening
Audit
and
Supervisory
Oversight
Impact,Risk and
Opportunity
Management
The Company manages risk in a structured and fully integrated manner through a four-stage process
encompassing risk identification, risk assessment, risk response, and risk monitoring. Risks are
periodically reassessed and response strategies are reviewed and updated to support the Company’s
long-term sustainable development objectives. The Audit and Supervision Department works in close
collaboration with risk control functions across all sectors to prepare and submit monthly audit and
supervision reports to senior management, which strengthens day-to-day risk oversight across key
dimensions including market conditions, operations, sales performance, safety, and environmental
compliance.
Risk Identification
BUs across all sectors, together with their respective risk control and internal control teams, the
Audit and Supervision Department, and other relevant functional teams, collect risk information from
both internal and external sources on a regular and as-needed basis to conduct preliminary risk
identification. Risk identification exercises are initiated as circumstances warrant, with the objective of
capturing potential risk sources as comprehensively as possible.
Risk Assessment
BUs across all sectors, together with their respective risk control and internal control teams, the Audit
and Supervision Department, and other relevant functional teams, assess and prioritize identified
risks according to their likelihood of occurrence and potential magnitude of impact, using qualitative
and quantitative analysis methods as appropriate. This process determines the relative severity of
each risk, establishes clear prioritization levels for risk treatment, and supports the focused allocation
of resources toward high-priority risks to enable effective risk management and control.
Risk Response
For material risks identified through the assessment process, BUs and functional teams across all
sectors develop targeted response plans by reference to established risk management procedures
and contingency protocols, and implement the corresponding measures in a timely manner.
Risk Monitoring
BUs and functional teams across all sectors continuously track identified risks, monitor the
effectiveness of implemented risk response measures, and identify newly emerging risks. Risk
management plans are adjusted on a dynamic basis in response to changing circumstances, ensuring
that risk management operates as an integrated, iterative, and continuously improving process. This
approach enables the organization to maintain resilience and pursue sustainable development in an
environment of ongoing change.
Indicators and Targets
In accordance with its annual audit work plan, the Company conducts audits encompassing its
headquarters, wholly owned subsidiaries, and controlling subsidiaries. Audit coverage extends to the
Company’s core business activities, material operational matters, and high-risk areas. Rectification
progress is incorporated into performance evaluations to ensure that all findings identified through
the audit process are addressed effectively and in a timely manner.
2025 Target
2025 Achievement Status
Achieve full coverage of operational performance audits across all sectors
Target achieved
Target achieved
Target achieved
Conduct three special audits addressing significant operational risks
Conduct process audits and settlement reviews for major capital projects
Business
Ethics
New Hope Liuhe conducts all business activities with integrity and in full adherence to the ethical
principles of fairness, trust, and transparency. The Company participates in market competition in
strict compliance with applicable laws and regulations, and maintains a firm stance against all forms
of commercial bribery, money laundering, monopolistic conduct, and unfair competition. Through
these commitments, the Company works in partnership with its stakeholders to foster a sustainable
and integrity-driven business environment.
The Board of Directors has established an Audit Committee and a Risk Control Committee as
the governing bodies responsible for business ethics and anti-corruption oversight. Under the
Management Measures for Accountability (Trial), the Risk Control Committee serves as the highest
authority for accountability matters within the Company. The Committee is responsible for setting
the overarching direction and guiding principles of the Company’s accountability framework, and for
making determinations on key matters including the designated decision-making bodies, scope of
accountability, applicable forms of accountability, impact periods, and levels of disciplinary action.
These provisions apply to all employees of the Company.
The Audit Committee holds primary responsibility for business ethics and anti-corruption oversight.
To support this mandate, the Company has implemented an internal governance structure
organized around one lead department and four specialized centers, with the Audit and Supervision
Department serving as the coordinating function. The four centers, namely the Supervision Center,
the Operational Audit Center, the Engineering Audit Center, and the Risk and Data Center, operate in
close coordination to build a robust anti-corruption compliance system grounded in zero tolerance
for corrupt conduct. In 2025, the Company completed the foundational buildout of a digital audit
platform, strengthening its internal data analytics capabilities and providing data-driven support for
integrity risk prevention and audit oversight.
The Company actively implements a suite of governing policies, including the Six Red Lines Prohibition
Rules, the Gifts and Hospitality Management Measures, the Employee Conflict of Interest Disclosure
Management Measures , and the Management Measures for Accountability (Trial) . These policies
establish clear standards and expectations across the areas of anti-fraud, anti-money laundering,
anti-corruption, fair competition and antitrust compliance, and conflict of interest management, and
apply to all directors, employees, and supply chain partners.
Anti-Corruption and Anti-
Commercial Bribery
Strategy and
Management Approach
The Company is firmly committed to conducting business with integrity and in full compliance with
applicable laws and regulations. Guided by the principle of cultivating shared commitment and
building a transparent future together, it has developed a comprehensive integrity and compliance
management system anchored by sound institutional frameworks, well-established governance
mechanisms, and a deeply embedded organizational culture. These efforts reinforce the Company’s
ethical commitments and support the shared goal of building a transparent and sustainable value
chain ecosystem.
20
New Hope Liuhe Co., Ltd.2025 Sustainability Report

100
20,000
60,000
80
Business Ethics
%
over
%
Standardizing Workplace Integrity and Strengthening Disclosure Management: The Six Red Lines
Prohibition Rules establish the foundational standard for employee conduct and explicitly prohibit the
acceptance of commercial bribery in any form. The complementary Gifts and Hospitality Management
Measures requires that any gifts which cannot be declined be registered through the Company’s
internal online disclosure platform, reinforcing conflict of interest controls. In 2025, approximately
39,500 individuals were identified as having potential conflict of interest relationships, with a
disclosure completion rate of 78%. The Company also requires all incoming employees to sign an
integrity pledge upon joining, and mandates organization-wide disclosure of interest relationships
and related-party transactions, embedding compliance standards from the point of onboarding.
Strengthening Supervisory Mechanisms and Enhancing Anti-Fraud Effectiveness: The Company
has established and continuously refined a suite of anti-corruption mechanisms, including an audit
and supervision coordination mechanism, a supervision business partner program, an operational
audit communication mechanism, a government-enterprise integrity co-building mechanism, and a
case tracking mechanism. Key performance indicators related to the handling of corruption, fraud,
and embezzlement cases and the recovery of financial losses are subject to ongoing monitoring and
control, ensuring that anti-corruption efforts are guided by clear procedures and operate within a
fully integrated management framework. In 2025, the Company deployed a digital audit risk model to
track fraud risk indicators and sharpen the effectiveness of its combined anti-bribery and anti-fraud
program. During the reporting period, three special supply chain audits were completed in support of
the Company’s commitment to building a transparent and integrity-based supply chain ecosystem.
Cultivating a Culture of Integrity and Building Organization-Wide Commitment: The Company has
implemented a multi-layered integrity culture program targeting all employees. Key initiatives during
the reporting period included the “Sunshine in Every Heart” integrity culture training series, the
publication of integrity-focused communications, the hosting of the Fifth Sunshine Culture Festival,
and the collection of exemplary integrity stories from across the organization. These programs serve
to continuously reinforce a shared culture of transparency and ethical conduct. During the reporting
period, more than 3,000 employee participations were recorded across integrity culture training
sessions, more than 10 integrity-themed publications reached a combined readership exceeding
15,000, and more than 500 exemplary integrity stories were submitted.
Integrity Culture Training Program Across Sectors
Anti-Unfair Competition
New Hope Liuhe strictly complies with the Anti-Monopoly Law of the People’s Republic of China, the
Anti-Unfair Competition Law of the People’s Republic of China, the Several Provisions on Prohibiting
Infringements upon Trade Secrets , and all applicable antitrust and fair competition laws and
regulations in the jurisdictions where it conducts business. The Company is committed to conducting
all business activities in accordance with the principles of fair and free competition. No reports or
complaints related to unfair competition were received during 2025.
Fair Competition
The Company is firmly committed to upholding fair competition principles across all aspects of its operations. This commitment encompasses refraining from publishing
false or misleading information about competitors, abstaining from conduct intended to disparage other market participants, declining to obtain competitors’ trade
secrets or confidential information through unlawful means, and refusing to engage in collusive pricing, market manipulation, or any other activity that violates applicable
laws and regulations. The Company actively collaborates with industry peers to uphold a fair, well-regulated, and orderly competitive market environment.
Intellectual
Property
Protection
The Company strictly complies with the Patent Law of the People’s Republic of China, the Trademark Law of the People’s Republic of China, the Copyright Law of
the People’s Republic of China, and all other relevant laws and regulations. It has established a comprehensive internal intellectual property management system
that defines standardized procedures covering the full process of intellectual property rights, including application, maintenance, use, and protection, and clearly
delineates the roles and responsibilities of each department involved in intellectual property management. Aligned with its strategic development priorities, the
Company takes a proactive approach to securing intellectual property coverage in key areas, with particular emphasis on patent applications and protection in
the fields of animal nutrition, biological breeding, intelligent farming, and disease prevention and control. These efforts are designed to protect the Company’s
research and technological achievements. The Company also maintains a firm commitment to respecting third-party intellectual property rights and ensuring full
compliance with applicable intellectual property obligations.
Anti-Money
Laundering
Trade Secret
Protection
The Six Red Lines Prohibition Rules expressly prohibit the unauthorized disclosure of the Company’s trade secrets. Protected information includes compensation
data, internally classified materials, the content of internal meetings and training sessions, and information relating to criminal and civil proceedings or
administrative accountability actions. The policy further prohibits the use of internal company information to obtain improper personal benefits or advantages for
oneself or any third party.
The Company strictly complies with the Anti-Money Laundering Law of the People’s Republic of China and continuously strengthens its internal anti-money
laundering compliance framework to support sound business operations and safeguard financial security. It actively collaborates with law enforcement agencies,
regulatory authorities, and financial industry participants to jointly prevent and combat money laundering. Regular anti-money laundering training programs are
conducted to build employee awareness of compliance obligations and strengthen professional competence, ensuring that anti-money laundering requirements
are implemented consistently and effectively throughout the organization.
Reporting and
Whistleblower Protection
The Company maintains effective implementation of its Reporting Investigation Management
Measures , which defines categories of reportable misconduct, outlines procedures for processing
reports, and establishes the mechanisms and protections afforded to whistleblowers. This policy
provides a structured governance framework for managing reporting activities, ensuring that all
reports of potential misconduct or corrupt conduct are handled in a manner that is fair, thorough, and
timely. To ensure accessibility for all stakeholders, the Company has established multiple reporting
channels, including postal mail and a range of digital and online options such as a dedicated
reporting hotline, an email address, a Feishu questionnaire, a WeChat reporting function, and a
WeChat official account messaging feature. All employees, customers, suppliers, and other third
parties are encouraged to submit reports, on either a named or anonymous basis, regarding any
conduct that may constitute a violation of the Company’s business ethics standards, applicable laws
and regulations, or other relevant policies.
A designated reporting intake officer is responsible for managing and maintaining all reporting
channels and registering incoming reports. Upon receipt of a report or supporting materials,
dedicated investigators within the Audit and Supervision Department conduct a thorough review
and investigation, prepare a formal investigation report, formulate recommended courses of action,
and submit their findings to the Audit Committee, ensuring the independence and objectivity of all
investigative outcomes. The Company is committed to maintaining strict confidentiality with respect
to all whistleblower information. Reporting materials are classified as restricted documents, access is
limited on a strict need-to-know basis, and retaliation against whistleblowers or associated individuals
in any form is expressly prohibited. During the reporting period, more than 350 reports were received
and processed, with a resolution rate of 100% for all substantiated reports.
Reporting Channels
1. Reporting Hotline:
+86 28 8595 3661
2. Reporting Mobile:
+86 139 8175 3661
3. Reporting Email:
tousu@newhope.cn
4. Reporting WeChat:
Sunshine New Hope Liuhe
Impact, Risk and
Opportunity
Management
The Company has established a systematic framework for identifying and managing business ethics
risks across three dimensions: risk identification, risk assessment and control, and opportunity
management. In the area of risk identification, the Audit and Supervision Department takes a risk
management-oriented approach, deploying digital monitoring tools to dynamically track high-
frequency areas of fraud exposure. The department also operates a multi-channel reporting system
encompassing written correspondence, in-person visits, telephone hotlines, and online platforms to
facilitate the timely detection of potential violations. In the area of risk assessment and control, the
Company continuously refines its integrated audit-supervision linkage mechanism and case tracking
system, ensuring that business ethics incidents are subject to routine closed-loop management.
Regular audits are conducted covering business ethics and anti-corruption matters arising from
production and operational activities, with a review cycle designed to ensure that all business units
are assessed at least once every three years, supporting early detection and prompt intervention. In
the area of opportunity management, the Company recognizes integrity and compliance as strategic
enablers of supply chain efficiency and long-term commercial reputation. Through the execution of
integrity agreements with suppliers and the joint development of a transparent, compliant supply
chain ecosystem, the Company translates compliance requirements into a foundation of mutual trust
and collaborative partnership. These efforts support the ongoing cultivation of a fair and competitive
market environment and contribute to the Company’s high-quality, sustainable development.
Indicators and Targets
2025 Target
2025 Achievement Status
Maintain oversight of key indicators related to the
handling of corruption, fraud, and embezzlement
cases, including case outcomes and economic loss
recovery
Target achieved. Four criminal cases involving anti-fraud
matters were formally filed; criminal compulsory measures
were applied to three individuals; five individuals received
judicial verdicts; and direct economic losses recovered totaled
RMB 1.45 million.
Employee Sunshine Commitment
Letter signing rate:
Employee anti-corruption
training attendances:
Employee anti-corruption training
hours:
Employee anti-corruption
training coverage:
22
New Hope Liuhe Co., Ltd.2025 Sustainability Report


Tax Strategy and Commitments
Tax Transparency
Governance
-1,155.73
80.284
-69.47%
829.11
-71.74%
483.47
469.84
97.18%
650.18
134.48%
Tax
Transparency
New Hope Liuhe strictly complies with the Enterprise Income Tax Law of the People’s Republic of
China, the Individual Income Tax Law of the People’s Republic of China, and all other applicable laws,
regulations, and regulatory requirements. The Company continuously strengthens and refines its tax
management system, with particular emphasis on tax risk management and the faithful fulfillment of
its statutory tax obligations. The Company’s tax function provides dedicated support for key business
activities, including market expansion, product R&D, and M&As. During the reporting period, the
Company incurred no material tax compliance violations and was not involved in any significant tax-
related litigation or arbitration proceedings.
Indicator
2025 2024
Profit before tax (RMB million)
Reported tax amount (RMB million)
Effective tax rate
Cash tax paid (RMB million)
Cash tax rate
Note: Effective tax rate = Reported tax amount (income tax expense) / Profit before tax * 100%. Cash tax
rate = Cash tax paid (actual income tax remitted) / Profit before tax * 100%. Both metrics are calculated in
accordance with the S&P Global Corporate Sustainability Assessment (CSA) methodology to measure the
relationship between taxes paid and accounting profit and to evaluate the level of tax transparency.
Tax Management System and Framework
A dedicated Tax Management Center has been established within the Company’s Finance
Department, staffed by five full-time professionals. The Center is responsible for formulating
and executing the Company’s tax strategy, which is guided by three core objectives: compliance
management, tax burden optimization, and operational support. Operating in close alignment with
the Company’s overall business strategy and day-to-day operational activities, the Tax Management
Center exercises centralized oversight of all tax-related matters across the organization and provides
comprehensive tax support for market expansion, product R&D, M&As, and other strategic business
activities, ensuring that tax management serves as an enabler of business growth and sustainable
development. The Head of the Tax Management Center is responsible for the formulation and
implementation of the Company’s overall tax strategy and for managing relationships with external
tax authorities and internal stakeholders. Finance personnel at branches and subsidiaries fulfill tax
responsibilities on a concurrent basis, handling entity-level tax filings and related matters for their
respective organizations. The Tax Management Center and the finance departments of branches and
subsidiaries maintain close, ongoing communication and provide mutual coordination and support to
ensure the effective conduct of tax activities across the Group.
The Company maintains open and constructive communication with tax authorities and stays
informed of developments in tax policy and changes in regulatory requirements on an ongoing
basis. The Company continuously refines its suite of internal tax management policies, including
the Enterprise Lifecycle Tax Registration Management System , the Tax Declaration Management
System, the Invoice Management System, and the Tax Accounting System. Together, these policies
articulate clear principles, requirements, and procedures for tax compliance and govern tax conduct
at every level and across every operational process. All policies are updated promptly in response
to changes in domestic and international tax legislation to ensure that the Company meets its tax
obligations accurately and on time. During the reporting period, the Company revised its Tax Data
Quality Assessment Measures and optimized system templates for the enterprise income tax annual
reconciliation and provisional payment processes, increasing the degree of reporting automation and
materially improving the efficiency and accuracy of tax filings.
The Company is committed to the following principles in the conduct of its tax affairs:
Complying with both the letter and
the spirit of applicable tax laws and
regulations in every jurisdiction
where the Company operates;
Refraining from shifting
value generated by the
Company’s operations to
low-tax jurisdictions;
Refraining from utilizing
tax structures that lack
g e n u i n e c o m m e rc i a l
substance;
Conducting all transfer
pricing in accordance
with the arm’s length
principle;
Refraining from exploiting
confidential jurisdictions or
so-called tax havens for the
purpose of tax avoidance.
Tax Governance and Risk Management
The Company manages its tax risk profile through a policy-driven approach supported by its
tax management system, which enables continuous monitoring of tax risk conditions across the
organization. Regular risk assessments are conducted covering value-added tax (VAT), enterprise
income tax (EIT), individual income tax (IIT), and other relevant tax categories. Following a structured
process of risk identification, assessment, and response, the Company has implemented an internal
tax self-review program and a cross-sector business inspection mechanism. Through systematic
analysis of tax-related business processes and financial data, as well as the application of relevant
tax policies, potential tax risk areas are identified and assigned risk ratings based on their likelihood
of occurrence and potential impact. This ensures that risks shared across sectors are addressed in
a coordinated and timely manner. High-risk matters are subject to immediate remediation, while
medium- and low-risk matters are subject to ongoing monitoring and addressed as circumstances
require. Regarding external audits, the Tax Management Center operates a first-contact accountability
system, under which staff members who become aware of a risk are responsible for guiding the
relevant finance personnel through a self-review process, providing policy guidance, and following
up on communications with tax authorities. In the event of a significant risk, on-site intervention is
carried out promptly to mitigate the Company’s tax exposure effectively.
The Company has also conducted targeted training programs covering enterprise income tax annual
reconciliation, the compliance and administrative framework under the Golden Tax Phase IV system,
invoice management requirements, and internal management assessment criteria. These programs are
delivered on a company-wide basis to ensure the timely dissemination of new policies and emerging
regulatory developments, which strengthens the tax competency of finance personnel. In 2025, four
specialized tax training sessions were organized, reaching a total of 2,910 participants.
Risk Category
Risk Description
Response Strategy
Value-Added Tax Risk
VAT risks are primarily concentrated
in invoice management and tax
filing. Key risks include the receipt of
fraudulently issued invoices and the
issuance of noncompliant invoices.
These risks are addressed through
the Invoice Management Measures,
supported by information technology
tools to further reduce exposure.
To reduce risks associated with invoice issuance, the Company has promoted the adoption of electronic
invoices and established partnerships with qualified service providers to deploy automated invoicing systems.
Invoicing requests are initiated directly from the financial accounting system to ensure that all business invoices
are authentic and complete.
To mitigate the risk of receiving noncompliant invoices, including those that have been fraudulently issued,
the Company has strengthened policy communication, clearly defined the direct accountability of business
personnel, and reinforced the supervisory responsibilities of BU managers and company finance managers.
The shared services center utilizes automated invoice verification services provided by external vendors to
enhance the efficiency and accuracy of invoice authenticity checks. This approach intercepts noncompliant
invoices at the point of receipt and reduces the risk of accepting invalid documentation.
Enterprise Income Tax Risk
EIT risks are primarily concentrated
in the authenticity and
reasonableness of costs and
expenses.
With respect to authenticity, the Company has strengthened collaboration with the accounting center and
shared services center to standardize the supporting documentation required for cost and expense recognition,
transmitting compliance requirements from the finance function through to the business level to ensure that
pre-tax deduction vouchers meet regulatory standards.
With respect to reasonableness, regular training sessions provide ongoing guidance on filing logic and
common areas of confusion in provisional payment and annual reconciliation filings, thereby standardizing
reporting practices. The Company also leverages its tax management system, which incorporates built-in policy
formulas to strengthen filing compliance, including the application of statutory deduction limits for items such as
business entertainment expenses and advertising expenditures.
Individual Income Tax Risk
Noncompliant withholding of IIT
exposes the Company to the risk of
regulatory penalties and reputational
damage.
The Company works in close collaboration with the Human Resources Department to conduct advance tax
planning for significant IIT-related matters, such as employee stock ownership plans and executive equity
incentive arrangements, and ensures that all required registrations and filings are completed in a timely manner.
Information
Security
and Privacy
Protection
To strengthen its information security governance, New Hope Liuhe has established a comprehensive
information security management system anchored in four guiding principles: strategic leadership,
cross-functional collaboration, controllable risk, and regulatory adaptability. The Company has
implemented a top-down, three-tier governance structure designed to enable comprehensive and
consistent risk management across all operational dimensions.
Decision-Making
and Oversight Layer
The Board’s Strategy and Sustainability Committee holds explicit supervisory and managerial responsibility for the Company’s information security program.
The Committee regularly reviews significant information security risks to ensure that the Company’s security posture remains aligned with and responsive to
its broader business development objectives.
24
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Information Security and Privacy Protection
Strategic
Coordination Layer
A dedicated Information Security Committee has been established at the corporate level. The Chief Financial Officer serves as Chair and bears primary
accountability for information security, with overall responsibility for strategic direction and resource allocation. The Head of the Digital Technology
Department (Chief Information Officer) and the Head of Information Security serve as Vice Chairs, leading technology implementation and risk oversight,
respectively. Committee membership encompasses the heads of legal and compliance, human resources, finance, public affairs, and major business segments,
as well as independent external experts and stakeholder representatives. This composition supports a multi-dimensional coordination mechanism spanning
decision-making, technology, management, and oversight functions. The Committee is responsible for formulating the Company’s medium- and long-term
information security strategy, annual work plans, and core management policies; organizing company-wide information security risk assessments; identifying
internal and external security threats and deploying preventive and control measures; managing significant information security incidents; fostering a strong
information security culture; and overseeing the information security controls of key suppliers and business partners.
Operational
Execution Layer
The Operations Center of the Digital Technology Department, relevant coordinating functional departments, and designated information security
liaisons within each department are collectively responsible for the day-to-day implementation of information security measures, ensuring the effective
deployment of all applicable security policies and controls. To further strengthen data security classified management, two subordinate bodies have been
established: the Confidentiality Management Committee, which is responsible for the protection of state secrets and commercially sensitive information,
and the Personal Information Protection Committee, which oversees personal data security. Together, these bodies provide comprehensive assurance that
the Company’s information and data assets are managed in a secure, compliant, and well-governed manner.
The Company references internationally recognized standards, including ISO 27001, as guiding
frameworks in developing a comprehensive information security policy framework that spans security
system construction, data protection, threat response, personnel accountability, and third-party
management. This framework ensures that information security requirements are fully and consistently
implemented across the organization. During the reporting period, the Company achieved Level 3
Classified Protection of Cybersecurity certification for its core business systems.
Continuous Improvement. The Company has established foundational governance documents,
including the Data Security Management System and the Application Security Management System,
and has adopted the Information Security Reward and Penalty System as part of a broader security
performance framework to continuously optimize management processes and drive iterative
improvements to its information security systems.
Data Protection. The Data Security Management System safeguards the confidentiality, integrity, and
availability of data through a classified and tiered protection approach and full lifecycle management.
Threat Response. The Company has developed the Information Security Incident Response and
Coordination Standards and the Information Security Emergency Response Plan , establishing
integrated mechanisms for monitoring and early warning, emergency response, and post-incident
review and improvement to enable rapid and effective responses to security threats.
Organizational Accountability. The Employee Information Security Handbook has been issued
to all employees, interns, and external personnel. The Handbook defines role-specific security
responsibilities and operational standards and incorporates information security performance as a
component of employee evaluations.
Third-Party Management. The On-Site Management Measures for Outsourced Personnel in the
Digital Technology Department establishes a framework for pre-engagement screening, on-site
supervision, and periodic security assessments of outsourced personnel and suppliers, ensuring that
all third-party services conform to the Company’s information security standards.
Strategy and
Management Approach
The Company has continuously strengthened its information security management system by
adopting advanced protection technologies, reinforcing network security safeguards and data
governance practices, and cultivating a culture of information security awareness among its
workforce. These efforts have provided comprehensive protection for the Company’s information and
data assets, supporting operational integrity and improved business continuity. During the reporting
period, the Company recorded no significant cybersecurity incidents or data breaches, and no
material violations related to data compliance or personal information protection.
Enhancing Information Security and Business Continuity
The Company has established a business continuity management framework for information security
that spans the full continuum of prevention, response, and recovery, ensuring that core business
operations remain stable and uninterrupted in the event of an information security incident. In
accordance with the Information Security Emergency Response Plan, the Company has defined clear
protection objectives for core business functions in the event of a data or information breach, and
has developed degraded-operation protocols for critical systems to ensure that essential operations
can be maintained under extreme conditions.
Upgrading Information and Data Security Technologies
The Company continues to advance its information and data security capabilities, with a proactive
and resilient protection framework in place. Application access controls and data security hardening
measures have been deployed across all business systems, with core platforms such as the smart
pig farming system designated for enhanced protection. For public cloud environments, protection
policies have been customized to reflect specific business traffic profiles, enabling the early detection
of potential vulnerabilities and supporting a shift from reactive defense to proactive threat prevention.
Efficient Security Vulnerability Analysis and Remediation
In 2025, in response to cybersecurity vulnerability notifications issued by public security authorities,
the Company established a structured, end-to-end remediation mechanism consisting of four
sequential stages: rapid response, precise verification, thorough rectification, and retrospective review.
Two dedicated vulnerability remediation initiatives were completed during the year. Throughout
each remediation process, a closed-loop management cycle encompassing detection, rectification,
and prevention was applied, effectively eliminating identified risks and reducing the likelihood of
recurrence.
Managing Sensitive Information Leakage Risk
In adherence to the principle of least privilege, the Company strictly limits the access rights granted
to internal personnel and third-party suppliers with respect to employee and customer personal
information, and conducts regular supervisory reviews to ensure full-lifecycle data governance. The
Information Security Reward and Penalty System establishes explicit requirements for the handling of
sensitive and confidential data. In 2025, the Company released an updated edition of the Employee
Information Security Handbook, integrating information security obligations and restrictions into
confidentiality agreements. Critical nodes within key business processes have been identified, and
targeted protective measures have been implemented for employee and customer data to reduce
exposure to information leakage risk.
Emergency Response to Information and Data Security Incidents
To strengthen the Company’s capacity to manage unexpected information security events, a
standardized incident response procedure has been established in accordance with the Information
Security Emergency Response Plan, and a dedicated Information Security Emergency Response Team
has been formed. Through practical simulation exercises, the Company has validated the effectiveness
and operational readiness of its emergency response plans, reinforced cross-functional collaborative
response capabilities, and built a solid foundation for managing unforeseen security incidents.
Employee Awareness and Capability Building
The Company is committed to strengthening organization-wide information security awareness and
risk management competency, with the goal of embedding information security as both a practiced
behavior and a core operational skill across its workforce. Through new employee onboarding training
and ongoing information security programs, employees are actively encouraged to report potential
security incidents, which continuously reinforces the organization’s human-centered capacity for risk
prevention.
Routine information security drills:
6
Offensive and defensive simulation
exercises: 1
Zero information security and
privacy disputes / customer
privacy breach incidents
Impact, Risk and
Opportunity
Management
The Company has established a comprehensive information security risk management framework that
encompasses risk identification, assessment, remediation, and continuous improvement, ensuring
that information security risks are consistently detected, effectively controlled, and resolved through a
closed-loop process.
Risk Identification. Through regular system scanning, vulnerability assessments, and threat
intelligence analysis, the Company systematically identifies internal and external security threats and
applies a layered defense strategy across core assets and multiple attack categories.
Risk Assessment. Drawing on the Information Security Technology—Guidelines for Category
and Classification of Cybersecurity Incidents , the Company classifies incidents into four severity
levels: Exceptionally Significant (Level I), Significant (Level II), Moderately Significant (Level III), and
General (Level IV). Differentiated response strategies have been developed to address nine incident
categories, including malicious software, network attacks, and data security threats.
Risk Remediation. Accountable departments and remediation timelines are clearly defined for risks
at each severity level. In 2025, the Company completed 198 risk rectification items, recorded 219 risk
occurrences, and achieved closed-loop resolution of all identified risk exposures.
Continuous Improvement. The Company completed 7 security infrastructure initiatives and published
1 new governance policy, extending coverage across a hybrid architecture comprising private cloud
(86.11%) and public cloud (13.89%) environments, while continuing to refine security strategies and
optimize resource allocation.
Indicators and Targets
2025 Target
2025 Achievement Status
Strengthening of web application
security
Full HTTP access control WAF coverage successfully deployed across all core SLA
business systems
Security hardening of middleware
components
7 items identified through scanning and risk assessment; 5 items completed
through rectification and iterative optimization
Compliance with external
assessments and simulation exercises
Multi-level Protection Scheme (MLPS) certification successfully obtained; security
indicator baseline requirements met in regional enterprise offensive and defensive
exercises
26
New Hope Liuhe Co., Ltd.2025 Sustainability Report

2
29
32
34
38
40
Premium Products
for Accessible
Nutrition
and Health
Chapter Content
Contribute to the UN 2030
Sustainable Development Goals (SDGs)
R&D in Nutrition and Health
Advancing Smart Farming
Rigorous Quality and Safety Control
Service Quality Enhancement
Supply Chain Management
By integrating key functional genomic loci with the distinctive genetic resources of indigenous Chinese pig breeds, the Xinxiwang 60K
high-density solid-phase SNP chip provides foundational technological support for the conservation of indigenous pig genetic resources,
breed purification and restoration programs, and the commercialization of superior genetic traits.
Sustainability Report
New Hope Liuhe Co., Ltd.
2025

30
New Hope Liuhe Co., Ltd.2025 Sustainability Report
R&D investment (RMB million) 191.35 270.28
209.58 302.13
291.89
R&D investment as a percentage of revenue
0.18% 0.26% 0.15% 0.21%
0.23%
Number of R&D personnel 743 717
808 1,094
1,191
R&D personnel as a percentage of total workforce 1.7% 1.73%
1.66% 1.41%
1.49%
Indicator
2025
2024
2023 2022
2021
300
291
152
R&D in Nutrition and Health
452
266
25
R&D in Nutrition
and Health
Guided by an innovation-driven development strategy, New Hope Liuhe concentrates its R&D
efforts on core fields including biological breeding, animal nutrition, and healthy farming practices.
The Company drives technological advancement across the industry through key scientific and
technological initiatives, accelerates the translation of research breakthroughs into commercial
applications, and is building a leading innovation ecosystem spanning the agriculture, animal
husbandry, and food sectors, with the goal of delivering products that are safer, more nutritious, and
of higher quality.
R&D System and
Collaborative
Partnerships
New Hope Liuhe has established a globally competitive R&D network underpinned by a standardized
technological innovation management system. The Company fully operates and leverages multiple
high-level innovation platforms, including the Ministry of Agriculture and Rural Affairs Key Laboratory
for Feed and Livestock & Poultry Product Quality Safety Control, the Ministry of Agriculture and Rural
Affairs Key Laboratory for Digital and Intelligent Swine & Poultry Breeding Technology Innovation,
and the National-Local Joint Engineering Research Center for Feed Safety and Efficient Utilization
Technology. Sustained investment in technological innovation and talent development continues
to strengthen the Company’s independent innovation capabilities and drive a steady pipeline of
research outcomes.
Refined Scientific Research Management
The Company has established a robust technological innovation governance structure, with the
Science and Technology Management Committee serving as the highest decision-making body
and the Academic Advisory Committee providing specialist technical guidance. This structure
encompasses both forward-looking fundamental research and the transformation, promotion, and
application of applied research findings. Through its network of research institutes, the Company
conducts targeted research across key domains including biological breeding, animal nutrition,
farming technology, epidemic prevention and control, and food safety.
To standardize end-to-end scientific research management, the Company has developed a suite of
institutional documents, including the Scientific and Technological Project Management Measures of
New Hope Liuhe Co., Ltd. and the Sci-Tech Management Risk Control Measures. Rigorous pre-project
feasibility research and approval assessment processes are conducted to identify and mitigate
potential uncertainties and risks in R&D initiatives before they arise.
Diversified Research Collaboration
The Company has established a dedicated Breeding Technology Center and taken the lead in
founding the Sichuan Native Pig Breeding Consortium, with a focus on cutting-edge technologies
such as genomic breeding, intelligent phenomics, and precision animal breeding. To build a leading
domestic platform for the commercialization of biological breeding technologies, the Company has
developed deep industry-academia-research partnerships with a range of distinguished institutions,
including Yazhou Bay National Laboratory, China Agricultural University, Huazhong Agricultural
University, Jiangxi Agricultural University, Sichuan Agricultural University, and Nanjing Agricultural
University.
In collaboration with Sichuan Agricultural University, the Company co-founded the Sichuan Provincial
Key Laboratory of Animal Nutrition and Efficient Feed Utilization, leveraging the platform’s strengths
to advance high-quality innovation and research outcomes.
The Company also continues to invest in its postdoctoral research stations. In 2025, it operates two
such stations, each hosting one postdoctoral researcher conducting work in the fields of pig breeding
and animal epidemic prevention and control, respectively.
R&D Personnel Profile
Educational
Level
Doctoral degree
Master’s degree
Bachelor’s
degree and below
Under 30 years old
30-40 years old
41 years old and above
Signing Ceremony of New Hope Liuhe Breeding Technology Platform
Appointment Ceremony of Sichuan Provincial Key Laboratory of Animal
Nutrition and Efficient Feed Utilization
R&D Operational Performance
Animal Health and Nutrition
In 2025, the Feed Sector conducted a comprehensive review of raw material databases to improve the
accuracy of nutritional formulation, while continuously refining health-oriented nutritional formulas
across all feed categories.
Poultry Feed: The Company conducted systematic research into optimal nutritional thresholds,
including lysine, methionine, and cystine levels for meat duck feed. Through targeted nutritional
adjustments during the late laying phase of hens, it effectively improved eggshell quality and reduced
flock mortality rates.
Aquafeed: A dedicated Aquafeed Management Department was established. By optimizing the
balance of micronutrient content, energy-to-protein ratios, and carbohydrate-to-lipid ratios, the
Company achieved a comprehensive quality upgrade across its aquatic feed product range.
Ruminant Feed: Building on proprietary R&D outcomes, the Company improved daily weight gain
performance in meat sheep and launched a full product line of feed tailored specifically for dairy
goats.
Swine Feed: The Company actively participated in the development of industry standards, including
group standards for sow feed. In response to the evolving swine farming landscape, it conducted
in-depth research into net energy, crude protein, and digestible amino acid indicators applicable
to swine feed across all growth stages, resulting in refined product standards that minimize meat
production costs while fully meeting market requirements.
Advancing Industrial Synergy
The Company is accelerating the integrated deployment of nutritional research and technological
application systems across its Pig and Feed sectors. Within this framework, the Feed Sector leads the
development of raw material value evaluation systems, raw material databases, and formula design
frameworks — resources that are directly adopted and applied by the Pig Sector in its operations.
On the R&D front, the Pig Sector focuses on studying the nutritional requirements of pig herds and
developing cost-effective feeding solutions, while the Feed Sector tailors feed cost optimization plans
for diverse client groups. The two segments engage in ongoing experience sharing and continuous
technical iteration. In formula optimization, cross-functional collaboration between technical
and procurement teams is fully embedded to enable the rational allocation of high-value raw
materials and effective cost management. These joint efforts have steadily improved herd breeding
performance and reduced overall production costs.
Innovation Achievements
Liquid Fermented Feeding Technology
Through the application of liquid fermented swine feed across multiple breeding
farms, the Company has achieved significant improvements in feed intake and
daily weight gain, optimized feed conversion ratios, and reduced soybean meal
consumption. This approach also raises intramuscular fat content and markedly
enhances pork quality, delivering a cumulative saving of 611,000 tonnes of soybean-
equivalent protein.
Environmental Benefits: The adoption of non-grain raw materials (e.g., distillers’
grains, miscellaneous meal) reduces dependence on grain crops and lowers
breeding-related emissions.
Social Benefits: Breeding efficiency is elevated, additional employment opportunities
are created, and industrial technological upgrading is accelerated.
Economic Benefits: Farmers benefit from lower production costs and higher-quality
pork output, while the Company advances the commercialization of its technologies
and expands operational capacity.
Swine Gut Microbiome Functions and Targeted Nutritional Regulation Technologies
and Their Applications
The Company made a significant contribution to the research project “Swine Gut
Microbiome Functions and Targeted Nutritional Regulation Technologies and Their
Applications,” which was awarded the First Prize of the Sichuan Provincial Science
and Technology Progress Award in 2024, a landmark recognition of the Company’s
progress in the R&D and industrial application of biological feed technologies.
Centered on the structural characteristics and functional mechanisms of swine
intestinal flora, the project systematically investigates the correlations between
microbiome composition, swine health, and growth performance. By applying
innovative microbial regulation technologies, the project has markedly improved
feed utilization efficiency and breeding economic returns. It has further driven
upgrades to feed pre-treatment equipment and production workflows, established
a replicable industry-academia-research collaborative innovation model, and
delivered scalable, sector-wide solutions for saving grain and improving efficiency.
Age
Distribution

Governance
R&D in Nutrition and Health
GB/T 13881-2025
GB/T 20190-2025
GB/T 21107-2025
NY/T 4677-2025
NY/T 4676-2025
NY/T 4751-2025
NY/T 133-2025
NY/T 4752-2025
NY/T 4740-2025
T/CFIAS 1005-2025
T/CMATB 1001-2025
Cumulative software copyrights 58
Cumulative registered trademarks 851
Patents filed 42
Patents granted 48
Valid patents newly added 48
of which: invention patents 426
of which: utility model patents 862
of which: design patents 73
1,361
2025
Aquafeed R&D Base of the Feed Sector
Honors
&Accolades
Four key research achievements were awarded the First Prize of the Shennong China Agricultural
Science and Technology Award: “Core Technologies for Quality Improvement and Industrialized
Production of Poultry Products,” “Core Technological Innovation and Product Industrialization of
Biological Feeds,” “Efficient Breeding Technology Innovation, New Variety Cultivation, and Industrial
Promotion for Meat Ducks,” and “Innovation and Application of Novel Functional Feed Enzymes
for Livestock & Poultry Intestinal Health Optimization.” A fifth project, “Innovation and Application
of Key Nutritional Regulation Technologies for Efficient and High-Quality Production of Yellow-
Feathered Broilers,” received the Second Prize of the same award.
At the provincial level, the “Swine Gut Microbiome Functions and Targeted Nutritional Regulation
Technologies and Their Applications” project claimed the First Prize of the Sichuan Provincial
Science and Technology Progress Award, while the “Development and Industrialization of a
Nationally Certified New Feed-Grade Copper Citrate Product” was awarded the Second Prize of
the same award.
Two additional projects, “Innovation and Application of Key Technologies for High-Value Utilization
of Feed Resources” and “Key Technologies for the Creation and Industrialization of Novel Green
Agricultural Biological Products Derived from Enteromorpha Polysaccharides”, received the Second
Prize of the Qingdao Municipal Science and Technology Progress Award.
Seven technical professionals from the Company, including Dr. Jing Lu, Director of the Breeding
Division under the Pig Sector, and Yang Qing, Director of the Qingdao Quality Inspection Center
of the Feed Product Department, were recognized among the first cohort of professionals to
be awarded associate senior professional titles through independent appraisal by private
enterprises in Sichuan Province.
Intellectual Property Portfolio
Cumulative valid patents
In 2025, a total of 3 national standards, 6 industry standards, and 2 group standards led or co-
developed by New Hope Liuhe were officially promulgated and came into effect.
Category
Standard Name
Standard No.
National
Standard
Determination of pepsin digestibility for animal-derived feeds
Determination of bovine, ovine and goat-derived materials in feeds
Determination of horse and donkey-derived materials in feeds
Industry
Standard
Feed material — Stone powder
Feed material — Soy protein concentrate
Feed material — Rice protein powder
Feed material — Peanut meal
Feed material —Wheat gluten
Control techniques for vectors in intensive pig farms
Group
Standard
Formula feeds for gilts, gestating and lactating sows
Chinese pork of black-hair pigs
The Company maintains 54

science and technology innovation
platforms across all levels, including
8 at the national and ministerial level
and 18 at the provincial level, and
holds the designation of a high-tech
enterprise.
Upholding Breeding
Ethics
New Hope Liuhe strictly adheres to all applicable laws and regulations governing breeding ethics,
including the Biosafety Law of the People’s Republic of China , the Animal Husbandry Law of the
People’s Republic of China , and the Measures for Scientific and Technological Ethics Review (for
Trial Implementation) . The Company conducts animal breeding activities with rigor, integrity, and
transparency, and categorically refuses to engage in the research or application of any technologies
that violate ethical norms or compromise animal welfare, ensuring that all corporate technologies
and products serve the goals of sustainable development and broader social wellbeing.
To uphold these principles in practice, the Company has established a Science and Technology Ethics
Committee to ensure that all technological innovations comply with ethical standards and do not
pose risks to the ecological environment, public health, or society. The committee brings together
internal and external professionals with strong academic expertise and ethical grounding, including
scientific researchers, legal consultants, industry specialists from the breeding and feed sectors, and
client representatives. It conducts regular oversight of ethical implementation across all business
segments to ensure that divisional practices remain aligned with the Company’s strategic objectives.
The Company has also strengthened its internal management systems for research ethics and
implemented targeted training programs to build ethical awareness across the workforce. All frontier
biotechnology R&D projects, including those involving animal trials, gene-editing breeding, and
novel feed additives, must undergo a comprehensive ethical assessment before receiving approval,
ensuring that potential ethical risks are identified and addressed at the outset.
Advancing
Smart Farming
New Hope Liuhe is steadily advancing the development of a fully integrated digital and intelligent
breeding ecosystem across its value chain. With a focus on core pig breeding and rearing operations,
the Company has built a cross-industry digital and intelligent collaborative platform for swine
production. By integrating IoT, AI, big data analytics, and smart equipment, it drives precision
breeding, intelligent production, and digital management, establishing a closed-loop operational
framework that spans data collection, intelligent analysis, precise decision-making, and efficient
execution. Smart breeding has become standard practice across the Company’s operations, with
digital empowerment serving as a key engine of high-quality industrial development.
New Hope Liuhe regards digital transformation as a strategic priority for cultivating new growth
momentum and reinforcing core competitive strengths. In pig farm operations, the Company has
achieved full-cycle intelligent management covering breeding stock selection, fattening, health
monitoring, and market sales. In feed production, end-to-end digital management has been
implemented across raw material procurement, formula optimization, manufacturing, and logistics
distribution.
32
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Digital and Intelligent Production Management
Case
Impact, Risk and
Opportunity
Management
Indicators and Targets
Governance
84
90
Indicator
2025 Target 2025 Actual
HI，我是猪小新
Advancing Smart Farming
To govern the full lifecycle of digital projects with greater clarity and consistency, the Company has
developed and regularly updated dedicated management regulations covering responsibilities,
operational procedures, and unified standards. These policies function as internal institutional
guidelines and are dynamically refined in response to organizational adjustments and evolving
business needs, with the aim of improving project delivery quality, mitigating operational risks, and
optimizing resource allocation.
Strategy and
Management Approach
Centered on the digital transformation strategic vision of “three fulls and four transformations”, which
integrates business operations, data, and management, New Hope Liuhe continues to drive the
intelligentization of key equipment, the digitalization of full-scenario operations, the functionalization
of all online data, and the proactive management of whole-process operations. Digital and intelligent
technologies are applied across the entire industrial chain, encompassing pig farm management,
feed production, and corporate governance, delivering measurable improvements in breeding
efficiency, operational performance, and management standards.
Full-Industry-Chain
Digital Intelligent
Breeding System
The Company has built a digital intelligent breeding architecture that integrates “gene flow” and “data flow,” enabling RFID-based intelligent tracking
from core herds through to commercial herds, AI-driven measurement of key traits, and full-chain digital management. Supported by high-throughput
measurement systems, precision environmental controls, and biosecurity protocols, this architecture enables efficient and coordinated breeding
operations.
Intelligent Equipment
Deployment Across Key
Production Stages
Intelligent equipment, including smart breeding care trolleys, AI-powered in-vivo measurement systems, and intelligent feeding test stations, has
been widely deployed across farrowing house care, individual animal measurement, and meat quality evaluation. These tools enable automated data
collection and precise operations, significantly reducing labor costs and the risk of human error.
Core Breeding Algorithms
and Precision Decision-
Making Services
Leveraging advanced breeding computation models such as GBLUP, the Company develops and delivers algorithm-based services including mating
scheme design and pre-selection planning. By applying genomic estimated breeding values, it achieves precision mating, optimizes population genetic
structure, and accelerates genetic progress.
These technologies have been deployed across six core breeding farms managing a total of 22,000 breeding pigs, delivering an approximately 5%
increase in population genetic progress, which effectively mitigates inbreeding depression while reducing piglet mortality and improving labor efficiency
by over 40% across key production processes.
Big Data and Cloud
Computing
Production and Operations Platforms: Consolidate data from pig farms, feed mills, and slaughterhouses into real-time dashboards covering pig
inventory, feed intake, growth performance, and sales costs, enabling dynamic adjustments to stocking density and feed formulas.
Market Forecasting Tools: Analyze historical sales data and market trends to support staggered marketing decisions and improve profit margins.
Supply Chain Optimization: Apply demand forecasting models to streamline raw material procurement and production scheduling, which reduces
inventory backlogs.
Robotics and Automation
Immunization Injection Robots: Utilize digital twin technology to achieve full-process automation of vaccine administration with
minimal manual intervention.
Intelligent Feeding Systems: Automatically adjust feed volumes based on each pig’s growth stage to minimize feed waste.
For details on the application of full-chain AI technologies, see the “Special Feature:
Embracing AI to Unlock New Quality Productive Forces in Agriculture.”
Full-process
Intelligent Phenotypic
Measurement System
The Company has established a comprehensive, automated phenotypic data collection network spanning
from live animals through to post-slaughter assessment. At the live animal stage, AI-powered weight and body
condition measurement tools, combined with intelligent feeding test stations, enhance breeding efficiency. At
the post-slaughter stage, the Company has built intelligent carcass and meat quality measurement laboratories
integrating automated equipment with digital management platforms, which enables standardized, high-
throughput testing of more than 20 complex indicators, including lean meat percentage and drip loss. This
system facilitates large-scale, precise, and automated phenotypic data collection, generating the robust datasets
needed to improve the accuracy and efficiency of breeding value estimation and selection.
Participation in the
National Science and
Technology Major
Project on New-
generation AI
In response to the recurring challenge of Porcine Epidemic Diarrhea (PED) outbreaks affecting the pig
industry, the Company actively participated in the research project “Data- and Knowledge-Driven Approach
for Intelligent Diagnosis of Typical Livestock and Poultry Epidemics.” Through systematic investigation into
PED prevalence and underlying causes, and by applying breeding system big data alongside machine
learning techniques, the Company identified key risk factors associated with PED outbreaks, enabling early
warning and rapid response. The resulting monitoring and early warning system facilitates timely alerts and
intervention measures, equipping farmers with better tools to manage PED outbreaks and contributing to
herd health and broader industry stability.
Digital Training
Through its online New Hope Academy platform, the Company has developed and launched a library
of short videos and micro-courses for frontline workers, covering pig breeding practices, biosecurity
protocols, and veterinary standard operating procedures (SOPs). Post-certification programs have
also been introduced to further strengthen workers’ technical competencies, improve job alignment,
and support workforce retention.
As New Hope Liuhe advances its digital transformation and smart breeding initiatives, the Company
faces a range of potential risks that require active management. On the technical and talent front,
these include the risk of suboptimal technology selection, system integration challenges, extended
return-on-investment cycles driven by rapid equipment upgrades, and a shortage of qualified digital
professionals. Financial risks, particularly high upfront capital requirements and return volatility linked
to pig price fluctuations, also warrant careful mitigation. The Company addresses these challenges
through a comprehensive, end-to-end risk control system embedded across all phases of its digital
operations.
Supportive policy frameworks, including the National Smart Agriculture Action Plan (2024—2028) and
initiatives promoting the green and low-carbon development of the animal husbandry sector, are
creating meaningful opportunities. The Company is capitalizing on these tailwinds by shifting from
experience-driven management to precision-based, data-driven decision-making, implementing
dynamic individual animal health monitoring, and establishing full-process product traceability.
To drive high-quality development, the Company harnesses digital and intelligent technologies to
strengthen industrial synergy, integrate upstream and downstream operations through coordinated
feed, breeding, and slaughtering support, and empower small and medium-sized farmers—
collectively building a more resilient and inclusive industrial ecosystem.
To realize the “three fulls and four transformations” framework, encompassing the intelligentization of
key equipment, the digitalization of full-scenario operations, the functionalization of all online data,
and the proactive management of whole-process operations, under the integrated business, data,
and management model, New Hope Liuhe fosters close alignment between business operations and
digital technology. Progress and effectiveness of the Company’s digital transformation are evaluated
holistically, with reference to improvements in operational efficiency and core competitiveness.
Number of key operational matters supported and controlled
Number of internal control risk points warned and controlled
17
46
Rigorous
Quality and
Safety Control
Guided by the principle that “food is the paramount necessity of the people, and food safety is
the top priority,” New Hope Liuhe places food safety at the heart of its corporate responsibilities,
embedding this commitment throughout the entire product lifecycle from raw materials through to
the consumer’s table. The Company rigorously enforces a three-tier quality inspection mechanism
to assign food safety responsibilities at every level of the organization, with the overarching goal of
delivering food products that are safe, healthy, and nutritious.
New Hope Liuhe strictly complies with all applicable laws and regulations, including the Food Safety
Law of the People’s Republic of China, the Product Quality Law of the People’s Republic of China,
the Regulations on Live Pig Slaughter Management, the Regulation on the Administration of Feeds
and Feed Additives, as well as local regulatory requirements at all project sites. These external
obligations are complemented by a suite of internal management systems, including the Food
Safety Evaluation Management Measures of New Hope Liuhe Co., Ltd., the Black Pig Product Food
Safety and Quality Management System, and the Food Crisis Management Measures of New Hope
Liuhe Co., Ltd., which the Company continuously refines to strengthen quality and safety control
across key links in both the Pig and Feed sectors.
Pig Sector
In the Pig Sector, the Company has introduced 11 new internal control systems, including the Quality and Food Safety Management Manual for Forward
Warehouse Products of the Pig BG Fresh Meat Division of New Hope Liuhe Co., Ltd. and the Implementation Rules for Testing of the Pig BG Fresh Meat
Division of New Hope Liuhe Co., Ltd. These systems address a comprehensive range of areas: return management, food safety contingency planning,
national reserve meat management, forward warehouse operations, drug residue controls, broken needle protocols, quality accountability, testing
procedures, and product acceptance standards.
Feed Sector
In the Feed Sector, the Company has established a full set of internal rules and regulations, encompassing quality and safety management manuals,
post operating procedures, and equipment guidelines, that span the entire value chain from raw material procurement and management through
to production control, product safety oversight, storage, transportation, sales, complaint handling, recall procedures, training, and document
management, with clearly defined quality standards at each stage.
34
New Hope Liuhe Co., Ltd.2025 Sustainability Report

100%
Rigorous Quality and Safety Control
At the corporate level, the Company has established a Food Safety and Quality Management
Department at its headquarters to provide centralized oversight of food safety matters. All branches
and subsidiaries have set up corresponding safety and quality management teams, forming a clearly
structured, top-down safety governance framework. The Company actively promotes quality and food
safety standardization certification across all sectors and subsidiaries, and conducts regular internal
audits and management reviews of its quality management system to verify compliance, effectiveness,
and ongoing improvement. For entities certified under the ISO 9001 Quality Management System and
ISO 22000 Food Safety Management System, the Feed Sector strengthens full-process risk control
through supplementary system planning, hazard analysis, and hazard control measures. At minimum,
one full-clause internal audit is conducted at each certified subsidiary annually, with audit reports
issued and corrective actions monitored to closure, which ensures consistent system implementation,
product quality, and regulatory compliance.
Pig Sector: All companies under the Fresh Meat Division hold ISO 9001 Quality Management System certification and satisfy the requirements of HACCP System certification (V1.0).
Shandong Qianxihe Food Co., Ltd. and Hebei Qianxihe Meat Industry Co., Ltd. have additionally obtained FSSC 22000 Food Safety System certification.
Feed Sector: 31 entities hold ISO 9001 Quality Management System certification, and 13 entities hold ISO 22000 Food Safety Management System certification.
Overseas Sector: 10 entities hold ISO 9001 Quality Management System certification; 2 hold ISO 22000 Food Safety Management System certification; 4 hold HACCP System
certification; 10 hold CPPB/CPPIB Good Feed Production Practice certification; 1 holds FAMI-QS European Feed Additives and Premixes Quality System certification; and 1 holds
a BSTI Product Type Approval Certificate.
Strategy and
Management
Approach
New Hope Liuhe operates under the guiding principle that “every detail matters in quality control,
and safety responsibility is of utmost importance.” This philosophy is operationalized through two
internal frameworks: the “three concessions” principle governing concessions for internal disposition,
supplier materials, and customer authorization, and the “three no-exceptions” principle requiring that
no deviation goes without root cause identification, corrective action, or organization-wide lessons
learned. Guided by these standards, the Company continuously refines its full-value-chain food
safety management system, encompassing raw material procurement, production control, quality
inspection, product management, sales management, and personnel training, to ensure end-to-end
quality oversight.
Full-Lifecycle
Management
New Hope Liuhe integrates quality and safety management into every stage of its production
and operational processes, which establishes a closed-loop biosecurity prevention and control
system. The Company leverages digital tools to strengthen product traceability and works in close
collaboration with farmers and suppliers to collectively raise quality control standards, aiming at
safeguarding product quality and safety from farm to fork.
Recognized as an Outstanding Case of
Fulfilling Corporate Social Responsibility
at the 9th Food Enterprise Social
Responsibility Annual Conference (2025)
Recognized as an Outstanding Case of
Food Safety Management (2024-2025) at
the 2025 China Food Safety Conference
Honors
&Accolades
Biosecurity Prevention and Control
Efficient Early Warning and Pre-emptive Risk Avoidance: The Company has established an epidemic
risk early warning mechanism based on infection thresholds, enabling proactive, pre-emptive
measures when regional epidemic risks escalate. During high-risk seasons and periods of extreme
weather, targeted dust suppression and toxin reduction interventions are promptly deployed to
mitigate infection risks.
Closed-Loop Biosecurity Management: The Company continuously optimizes vehicle disinfection
procedures and facility layouts, sources approximately 80% of canteen vegetables from in-house
cultivation during autumn and winter, and promotes the use of designated slaughterhouses through
an integrated breeding-slaughtering linkage model, which collectively reduces transmission risks
associated with vehicles, food inputs, and transportation activities. Grid-based prevention and
control measures have been implemented to optimize the deployment and scheduling of culling and
transportation vehicles on-site, achieving zero cross-farm transmission from 2024 to 2025.
Differentiated Response Strategies: The Company develops tailored response protocols for different
virus strains. For chimeric strains, the focus is on regional isolation and refined toxin reduction; for
vaccine strains, a barn-by-barn isolation approach combined with multiple rounds of blood sampling
is applied. This strain-specific methodology enhances both the scientific rigor and operational
efficiency of the Company’s prevention and control efforts.
Case
Positive Pressure
Ventilation Upgrades
to Strengthen
Biosecurity
Two Additional
National-Level
Epidemic-
Free Zone
Certifications
To address biosecurity vulnerabilities in pig farms, the Company undertook a comprehensive overhaul
of its positive pressure ventilation systems. Following three years of sustained technological upgrades,
positive pressure ventilation has been extended to most northern farming regions, enabling effective air
filtration within pig houses. Complemented by hardware improvements and process optimization across
supporting epidemic prevention measures, including link monitoring, biosecurity protocols, and emergency
response procedures, these upgrades have markedly enhanced the overall biosecurity capabilities of the
Company’s pig farms.
Following rigorous review by the Ministry of Agriculture and Rural Affairs, two additional subsidiaries of
the Company have been officially certified as national-level Epidemic-Free Zones, bringing the Company’s
total to 12. These certifications directly facilitate the cross-regional transportation of live pigs and
contribute to greater stability in production operations.
Drug Residue Control
Strengthening Drug Residue Testing: Drawing on the Detailed Rules for Food Safety Supervision
and Sampling in 2025, industry-wide drug residue sampling data, and internal testing results, the
Company has developed the Implementation Rules for Testing of the Pig BG Fresh Meat Division of
New Hope Liuhe Co., Ltd. Testing frequencies are calibrated according to the severity of drug residue
risks, with comprehensive testing conducted at pig entry, slaughtering, and pre-delivery inspection
stages to ensure targeted and effective residue control.
Enhancing Testing Capabilities: Quarterly blind sample comparison and verification exercises are
conducted to assess and improve the technical proficiency of laboratory personnel, ensuring the
reliability and accuracy of test results. Laboratory directors are invited to participate in the Capacity
Building and Improvement of Inspection and Testing Institutions in the Food Industry training
program, a collaborative initiative between the State Administration for Market Regulation and the
United Nations Industrial Development Organization, to further strengthen testing capabilities.
During the reporting period, the pass
rate of random market inspections
was
Testing Frequency
Testing Content
Daily
Quinolones, sulfonamides (total), florfenicol, tetracyclines, trimethoprim, lincomycin, etc.
Weekly
Dexamethasone, chloramphenicol, tilmicosin, etc.
External Pig Supplies
Additional testing for chlorpromazine, sodium pentachlorophenate, etc.
36
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Indicators and Targets
Governance
The Company has progressively strengthened its customer service framework, with sector BUs
operating under a two-tier linked governance structure spanning business divisions and subsidiaries.
At the business division level, the Sales General Manager serves as the overall responsible party
for customer service; at the subsidiary level, this responsibility rests with the General Manager,
supported by a dedicated Customer Service Department staffed by managers from the Sales,
Support, Production and Operations, and Safety and Quality functions to deliver localized service.
This clearly defined, collaborative two-tier structure enables rapid response and professional support
for customer needs. The Company has also established internal management systems, including
the Management Measures for Marketing Personnel Evaluation and the Regulations for Customer
Management in Pig Sales, that set out clear service standards and operational protocols.
Strategy and
Management Approach
Customer Service Management
Rigorous Quality and Safety Control
Product Recall Management
The Company has established a Product Recall Management System that sets out clear recall
procedures and defines departmental responsibilities. To verify the system’s effectiveness, an annual
simulation drill is conducted to ensure timely response capabilities and full operational readiness.
The Safety and Quality Department is responsible for collecting and consolidating market feedback
and ensuring its proper integration into production practices. In alignment with HACCP recall
requirements, the Department maintains clearly defined information transmission processes and
accountability assignments, assesses product risks in a structured manner, and ensures the prompt
recall of any high-risk products identified.
Quality Culture
Development
New Hope Liuhe places strong emphasis on building employees’ quality awareness and professional
competence. The Feed Sector has developed the Quality and Safety Management Manual, with all
entities required to maintain strict compliance with quality management system documentation. The
headquarters conducts regular full-clause internal audits to verify consistent system implementation.
The Fresh Meat Division of the Pig Sector delivers year-round quality training programs to strengthen
the operational skills and cross-functional collaboration of frontline employees, which supports
compliant pig slaughtering practices and robust quality safety assurance.
Quality training reached 5,468
participant-times, totaling 4,297.97
training hours.
Delivering Healthy Food
New Hope Liuhe operates under the guiding belief that “quality pork begins with sound pig farming.”
Through nutritionally optimized feed formulas and science-based breeding practices, the Company
enhances animal health and the nutritional profile of its pork, while continuously improving live pig
quality. By evolving from raising healthy pigs to producing high-quality, flavorful pork, the Company
is committed to meeting consumers’ growing appetite for diversity and product personalization.
Enhancing Pork Quality
Anchored by five major slaughtering bases in Beijing, Liaoning, Hebei, Shandong, and Shaanxi, the
Company fully capitalizes on its integrated industrial chain capabilities spanning breeding, farming,
slaughtering, and intensive processing. Through a strategically coordinated breeding-slaughtering
linkage model connecting its owned farming bases nationwide, the Company ensures consistent
performance across key indicators, including live pig weight and intramuscular fat content, to deliver
reliably high-quality pork.
The Company has established a dedicated Meat Quality Laboratory that accumulates comprehensive
data across breeding, farming, nutrition, and meat quality dimensions. This work has given rise
to a specialized database for black pigs, one that precisely maps the relationships between pig
strains, breeding conditions, feeding programs, and meat quality metrics. Test data is translated into
actionable improvement indicators fed directly back to the farming sector, enabling data-driven
production optimization. The laboratory has completed full carcass testing of mainstream black pig
breeds, and this approach has driven a premium slaughter rate improvement of over 10%.
Honors
&Accolades
Pork produced by Yang Ling Besun Agricultural
Industry Group Corporation Limited was named
among the Top 30 Special Premium Products
in Northwest China at the Future Agricultural
Industry Development Conference.
Shandong Qianxihe Food Co., Ltd. received the
Excellent Brand Pork of the Year Award.
Qianxihe’s “Farmhouse Pork Blood Sausage”
and “Zhichu” Black Pig Lard both earned the
Gold Award at the Culinary Showcase with
Quality Ingredients event during the 2025 China
International Meat Industry Week.
Impact, Risk and
Opportunity
Management
Animal epidemics represent a significant and systemic risk to the animal husbandry industry. When
outbreaks occur, they can cause direct losses through breeding animal mortality, reducing output,
driving up costs, and depressing prices. Beyond immediate production impacts, epidemics may also
trigger source contamination, cross-contamination during processing and distribution, and erosion
of consumer confidence and brand reputation.
To mitigate epidemic risk, the Company employs a multi-layered approach: standardized farm
construction, professionally trained breeding technicians, rigorous preventive protocols, and
strengthened quality and safety management across the supply chain and among cooperative
farmers — working in concert to contain and control potential outbreaks.
New Hope Liuhe has implemented comprehensive quality management measures with the clear
objective of eliminating product recalls and preventing negative product incidents.
In 2025, no major product safety or quality liability accidents were recorded.
In 2025, no product recalls or negative product incidents occurred.
Service
Quality
Enhancement
Guided by a customer-centric philosophy and a commitment to responsible marketing, New
Hope Liuhe consistently refines its service systems and standards to enhance the overall customer
experience.
Informed by the distinct characteristics of its industry, the Feed Sector has built a comprehensive
customer service management system covering the full cycle of pre-sales, in-sales, and after-
sales support. By delivering differentiated, personalized services alongside professional technical
assistance, the Company has cultivated strong customer trust and long-term loyalty.
Optimizing
Customer Service
Pre-sales
Services
The Company provides breeding consulting, feed product recommendations, and customized breeding plan
development services to help customers prepare effectively for their breeding operations.
In-sales
Services
The Company ensures timely order processing and accurate delivery, offers real-time logistics tracking, and
coordinates prompt solutions to any delivery-related issues as they arise.
After-sales
Services
A 24-hour customer service hotline (400 line) is available to address customer inquiries on feed usage.
Regular follow-up visits are conducted to assess product performance in the field and gather customer
feedback.
Customer Information Management
Through multiple channels, including market research, sales visits, and customer consultations,
the Company has established a structured customer information management system and strictly
enforces customer information confidentiality policies.
Professional Technical Guidance
Depending on product category and sales volume, companies of the Feed Sector deploy qualified
breeding service personnel to deliver technical training and support disease diagnosis and
prevention. When requested, these specialists provide on-site technical assistance, helping customers
resolve after-sales challenges effectively and efficiently.
Expanding Online Service Capabilities
In line with evolving digital marketing trends, the Company has developed tailored online sales
strategies for both its Pig and Feed sectors to broaden customer reach and improve service efficiency.
For details on the Pig Sector’s online strategy, see the “Special Feature: Embracing AI to Unlock New
38
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Customer Complaint
Management
Governance
Service Quality Enhancement
Quality Productive Forces in Agriculture.” Focusing on platform diversification and content ecosystem
development, the Feed Sector has built a wider, more targeted, and increasingly interactive online
sales and service network. During the reporting period, its online platforms accumulated over
100,000 registered customers and facilitated the sale of more than 12,000 tonnes of premixed and
concentrated feed.
Cumulative online registered users
(Feed Sector) over:
100,000
Platform Expansion
The Company maintains a strong presence on mainstream e-commerce platforms such as Taobao and JD.com, while actively expanding into emerging
social and content platforms including Douyin and Kuaishou. By analyzing user demographics and traffic behavior specific to each platform, it applies
differentiated strategies to engage distinct customer segments with precision.
Influencer and
Expert Collaboration
Through partnerships with key opinion leaders (KOLs), technical experts, and benchmark farmers within the breeding industry, the Company has developed
an integrated ecosystem that combines customer education with product promotion, leveraging live-streaming sessions, technical presentations, and real-
world case study sharing.
Service Quality
and Efficiency
Supported by an efficient online customer service system, professional technical support, and real-time logistics updates, the Company achieved an online
customer satisfaction rate of 98.5% during the reporting period.
Customer Communication
Each business division maintains a dedicated 400 customer complaint hotline, publicized through
product packaging and other customer-facing channels. Frontline sales personnel conduct regular
communications with distributors, collecting and compiling market feedback on a daily basis and
forwarding it to the Safety and Quality Department, which oversees production departments in
implementing targeted improvements.
Complaint Handling
All business divisions have established robust complaint handling mechanisms and standardized
process workflows to ensure all issues are resolved thoroughly and effectively.
Pig Sector
The Production Department conducts thorough root cause investigations, develops specific resolution plans, and ensures all complaints are handled to
completion.
For product quality issues, appropriate measures are taken, including returns, formal apologies, and compensation, alongside improvements to service
processes and, where warranted, training or disciplinary action for relevant personnel.
In 2025, a total of 647 work orders were received via the 400 hotline, comprising 634 consulting inquiries and 13 product quality complaints, with a 100%
complaint resolution satisfaction rate.
Feed Sector
Upon receiving a complaint, the Company records all relevant details and routes the case to the appropriate responsible department for handling in
accordance with the Customer Complaint/Return Handling System. For quality-related complaints, the Quality Management Department conducts a
thorough investigation and product verification before responding to the customer. In 2025, the 400 hotline handled 494 feed-related complaints and
inquiries, including 14 product quality complaints, achieving a 92.4% issue resolution satisfaction rate.
Overseas Sector
Dedicated complaint acceptance channels have been established in each overseas market to ensure timely recording and end-to-end tracking of all
complaints. All cases are addressed within defined timeframes, with outcomes promptly communicated to customers and confirmed through follow-up
contact until full resolution is achieved.
Satisfaction Management
To gain meaningful insight into customer experiences with its products and services, the Company
conducts regular customer satisfaction surveys. Core evaluation dimensions include product quality,
complaint handling speed and effectiveness, and delivery accuracy. Sector-specific and customer-
type-specific questions are incorporated to improve feedback relevance and depth. Survey findings
are systematically analyzed to identify gaps and drive improvements, with customer satisfaction
evaluations serving as a key lever for strengthening customer relationships and continuously
optimizing the service experience.
Responsible Marketing
New Hope Liuhe continuously strengthens its compliance framework for marketing and promotional
activities, establishing clear requirements and standardized processes to govern how marketing
is conducted. During the reporting period, the Company formulated and revised the Marketing
Management System and the Code of Conduct for Marketing Personnel, ensuring all marketing
activities are carried out within well-defined compliance boundaries. Dedicated compliance training
was also organized for marketing personnel to reinforce their awareness of regulatory requirements
and elevate professional standards.
Impact, Risk and
Opportunity
Management
New Hope Liuhe has established a customer risk management and opportunity identification
mechanism spanning the full business process, with the aim of strengthening business resilience in
a complex and rapidly evolving market environment. Through regular customer visits, satisfaction
surveys, industry exhibitions, and ongoing monitoring of laws and regulations, the Company
dynamically tracks market trends and shifting customer needs, while proactively identifying potential
business risks arising from technological changes, quality fluctuations, or delivery disruptions.
Additionally, the Company leverages daily customer communications, satisfaction surveys, and
complaint reviews to systematically identify gaps in product quality, user experience, and customer
service, converting these insights into concrete opportunities for improvement. Through continuous
professional capability building and process optimization, the Company consistently strengthens
customer trust and recognition, ensuring the sustained and healthy growth of its core businesses.
Indicators and Targets
New Hope Liuhe places customer satisfaction at the center of its service commitments and performs
regular monitoring of key indicators, including customer complaint handling rates and resolution
rates, to ensure its customer service objectives are duly met.
2025 Target
2025 Actual
Customer
Satisfaction (points)
Pig Sector
Feed Sector
＞95
＞96
98
99
Customer complaint resolution rate (Fresh Meat Sector):
100%
Customer complaint resolution rate (Feed Sector): 92.5%
Responsible marketing training sessions: 37
Responsible marketing training attendances: 9,822
Responsible marketing training hours: 58
Responsible marketing training coverage (marketing &
sales personnel): 100%
Supply
Chain
Management
New Hope Liuhe places significant importance on the social and environmental value generated and
impacts created by activities across its industrial chain. By establishing a closed-loop management
mechanism that covers the full supplier lifecycle, and by embedding sustainable development and
green procurement principles throughout its operations, the Company systematically manages
supply chain risks, enhances supply chain resilience, and works collaboratively with partners to drive
the steady growth and green transformation of the broader industrial ecosystem.
New Hope Liuhe operates in compliance with applicable national laws and regulations, including the
Law of the People’s Republic of China on Invitation and Submission of Bids and its implementation
regulation. The Company has established a structured three-tier supplier management framework
comprising the decision-making, management, and execution bodies. Underpinned by internal
management systems such as the Internal Supplier Management System and the Sourcing and
Price Comparison Management System, the Company is committed to building a responsible and
sustainable supply chain.
Decision-
Making Body
Supplier Management Committee
The Company’s employee director serves as General Manager of the Supplier Management Department, with responsibility
for directing, coordinating, and supervising day-to-day operations, as well as overseeing the onboarding of new suppliers
and the certification of existing ones.
The Committee provides overarching governance of supplier management, encompassing system planning, goal setting,
implementation oversight, and review and decision-making on significant supplier-related matters.
Management
Body
Supplier Management Department
Execution
Bodies
Business & Functional Centers
Supplier Certification/Review Team
The Supplier Management Department comprises 10 business centers responsible for day-to-day procurement activities, and
5 functional centers overseeing supply chain-related finance, planning, market research, supplier management, and quality
management.
The Team carries out specific assessment processes for new supplier onboarding and the ongoing certification of existing
suppliers.
Strategy and
Management Approach
New Hope Liuhe continues to strengthen and refine a comprehensive full-lifecycle supplier
management mechanism covering supplier onboarding, tiered classification, performance
evaluation, and exit/replacement. Quality, environmental, safety, and health (QESH) standards are
integrated across all dimensions of supply chain management to boost the efficiency and reliability
of the supplier network. Through regular supplier communications, training initiatives, and other
engagement activities, the Company ensures that the latest policy requirements and internal
expectations are conveyed to suppliers in a timely and accurate manner, enhancing their capacity to
meet their responsibilities.
Supplier Full Lifecycle Management
The Company has established a full-lifecycle management framework spanning supplier onboarding,
evaluation, tiered classification, and exit, ensuring that all suppliers meet the Company’s standards. In
compliance with the Regulations on Ensuring Payments to Small and Medium-sized Enterprises, the
Company guarantees timely payments to SMEs through supply chain finance, electronic commercial
40
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Indicator
2025
Total number of suppliers qualified through desk or on-site evaluations
3,169
Percentage of key suppliers qualified through desk or on-site evaluations
100%
Total number of suppliers with significant actual or potential negative impacts 0
Total number of terminated collaborations
0
Total number of suppliers participating in capacity-building projects
8
Percentage of key suppliers participating in capacity-building projects
80%
Impact, Risk and
Opportunity
Management
Supply Chain Resilience Enhancement Strategies
Supply Chain Management
paper financing, automatic payment arrangements, and dedicated green payment channels. In 2025,
no instances of malicious payment delays, litigation, arbitration, or administrative sanctions were
recorded.
Supplier Onboarding
Based on the business characteristics of different supplier types, the Company has refined eight categories of onboarding application templates, forming the
Access Certification Template Set V4.0. A biweekly supplier review meeting system is in place, supplemented by a green channel for expedited onboarding to
accommodate suppliers with time-sensitive business requirements.
Supplier Evaluation
Suppliers are managed through a tiered classification system, organized into four categories: strategic, high-quality, general, and supplementary, each further
differentiated into four performance levels (A, B, C, and D).
Supplier Tiering
Performance evaluations are conducted for suppliers within the same category based on their grade and product type. Through ongoing cycles of promotion,
demotion, and elimination, the Company steadily optimizes the overall composition and quality of its supplier pool.
Supplier Exit
A formal supplier exit mechanism is in place, complemented by supplier status change notifications that enable suppliers to track their standing in real time,
facilitating transparent, two-way communication between the Company and its suppliers.
Elevating Supplier Capabilities
The Company fosters mutual growth and development with its suppliers through a range of
collaborative approaches, including technical guidance and support, feed formula optimization,
quality control system strengthening, joint testing capability development, supplier personnel training,
benchmarking assistance, co-innovation, and quality incentive programs.
Case
Supporting
Phosphate-Calcium
Suppliers in Quality
Improvement
In 2025, the Company conducted sampling tests on dicalcium phosphate sourced from phosphate
manufacturers. In addition to standard national indicators, the testing focused on key internal control
metrics, including pH value, free water content, and sulfate levels. Based on the results, the Company
worked closely with its BUs, testing center, quality control team, and suppliers’ internal teams to identify
the core gap: manufacturers and their competitors had insufficient understanding of sulfate indicators and
their significance. In response, the Company organized joint training sessions and technical discussions
with the phosphate manufacturers, reaching a shared consensus that manufacturers would accelerate
internal re-inspection of sulfate levels, develop a stronger grasp of the relevant technical parameters, and
identify existing process deficiencies. Going forward, the Company’s testing center will collaborate directly
with manufacturers to enhance the commercial application and practical value of this indicator in actual
production processes.
Increasing Supply Chain Resilience
Supply chain resilience can be affected by a wide range of factors, including geopolitical tensions,
industry volatility, and fluctuations in bulk commodity markets. To proactively address these risks,
the Company applies a systematic, multi-dimensional risk assessment framework when selecting
key suppliers, spanning country/region, industry, and commodity levels. At the country/region level,
the Company screens suppliers’ operating locations against international sanctions lists and global
risk indices, with particular attention to political stability, trade policy developments, and exposure to
natural disasters. At the industry level, assessments are tailored to the agriculture, animal husbandry,
and food sectors, encompassing food safety management systems, labor rights protections,
environmental compliance, and industry concentration risks. At the commodity level, the Company
has established a price fluctuation early warning mechanism for key bulk inputs such as corn and
soybean meal, alongside onboarding and traceability protocols for critical materials including animal
health products and breeding pigs, all working together to build a more resilient and secure supply
chain. During the reporting period, the Company successfully navigated multiple extreme weather
events and international market disruptions, maintaining a 100% supply stability rate with zero supply
interruptions, zero major quality incidents, and zero ESG-related public opinion risks, setting an
industry benchmark for supply chain resilience.
Diversified Sourcing
Core raw materials are supported by more than three alternative suppliers each, with a dual-circulation model combining domestic supply and imports to
reduce single-source dependency.
Regional Supply Assurance
Five major raw material bases have been established across Northeast, North, East, South, and Southwest China to strengthen localized supply capabilities.
Digital Early Warning
A multi-dimensional monitoring system tracks price movements, inventory levels, logistics conditions, policy changes, weather events, and disease outbreaks,
enabling data-driven, intelligent decision-making.
Strategic Partnerships
Long-term sustainable procurement alliances have been formed with leading industry players including COFCO Corporation Limited, China Co-Op Group Co.,
Ltd., Yihai Kerry Arawana Holdings Co., Ltd., and Cargill Inc.
Circularity and Substitution
Low-protein feed formulas, enzyme additives, fermented proteins, and by-product utilization are adopted to reduce reliance on soybean meal and improve
resource efficiency.
Supply Chain ESG Management
As New Hope Liuhe continues to expand its global operations, the Company is developing and
implementing comprehensive labor and human rights management policies applicable to both
suppliers and contractors. Suppliers are required to make formal commitments to uphold standards
across a broad range of areas, including child labor prevention, forced labor prohibition, occupational
health and safety, wages and benefits, working hours, anti-discrimination, fair treatment, freedom
of association, ethical business conduct, environmental management, anti-corruption and
conflict of interest, and fair competition practices. Clear provisions for breach of commitment and
corresponding remedial measures are established and incorporated as a key dimension of supplier
performance evaluation. This approach drives suppliers to strengthen their respect for and protection
of fundamental human rights in the workplace, ensuring the consistent global implementation of the
Company’s human rights policies. In line with its sustainable procurement principles, the Company
designates product quality as a veto criterion within its supplier performance assessment framework,
while treating environmental protection and social responsibility as critical evaluation items.
The Company further reinforces supply chain integrity through a rigorous oversight mechanism. Suppliers
are required to sign quality commitment letters and transparent cooperation agreements, with anti-
corruption clauses embedded in all contracts to regulate business conduct. Throughout the procurement
process, the Company upholds full transparency and end-to-end electronic traceability, and conducts
regular unannounced inspections and targeted special audits to standardize supplier behavior. Any
supplier found to be in violation of relevant requirements is placed on a permanent blacklist and barred
from future engagement, fostering a supply chain culture built on integrity, trust, and mutual benefit.
In 2025, the Company conducted
3 integrity and compliance training
sessions, reaching 2,005 key
suppliers and engaging a total of
2,680 participants.
New Hope Liuhe regards sustainable supply chain management as a core pillar of business continuity
and long-term value creation. The Company has established a comprehensive, full-process risk
governance system encompassing: risk identification; assessment and tiered classification (high / medium
/ low); development and implementation of control measures; dynamic monitoring and early warning;
incident response; and periodic review and optimization. Through a structured arrangement of annual
risk assessments, quarterly reviews, monthly monitoring, and targeted inspections during major public
holidays or extreme weather events, the Company systematically identifies and manages key risks and
opportunities across the supply chain to strengthen overall resilience.
Risk Category
Response Measures
Operational Risks
Price fluctuations, natural disasters, logistics disruptions, import/
export policy changes, epidemic/disease outbreaks, and insufficient
production capacity.
Long-term contract price locking, multi-source procurement, strategic reserves,
regional warehousing networks, futures hedging, pre-qualified alternative suppliers, and
emergency logistics protocols.
ESG Risks
Labor and human rights violations, environmental penalties, carbon
emissions, deforestation, commercial bribery, product safety failures,
and biosecurity breaches.
ESG-aligned onboarding standards, third-party audits, veto mechanisms, supplier
blacklisting, extended oversight periods, sustainability certification requirements, and
contractual ESG obligations.
Indicators and Targets
New Hope Liuhe has set clear supply chain risk management objectives: zero disruptions to core raw
material supply and zero major quality or ESG incidents. Annual supply chain management targets
are formulated, tracked, and reviewed to drive continuous progress toward a more sustainable and
resilient supply chain.
2025 Target
2025 Actual
Achieve a 90% launch rate for the supply chain
digital platform
Full end-to-end online coverage achieved across
procurement, bidding, contracting, inspection, warehousing,
logistics, and payment, resulting in a 100% platform launch
rate.
Achieve a 96% raw material quality
qualification rate
Annual raw material quality qualification rate reached 98.3%,
exceeding the target.
Total number of suppliers: 4,261
Key suppliers: 96
Supplier environmental evaluation
coverage: 100%
Supplier quality and safety
evaluation coverage: 100%
Supplier Quality Commitment
Letter signing rate: 100%
Suppliers with quality management
system certifications: 1,980
42
New Hope Liuhe Co., Ltd.2025 Sustainability Report

3
45
48
51
56
Chapter Content
Contribute to the UN 2030
Sustainable Development Goals (SDGs)
Green Industry
for a Thriving
Natural
Ecosystem
Sustainable Agriculture
Sustainable Operations
Addressing Climate Change
Ecosystem and Biodiversity Conservation
The Pig Sector’s environmental protection team cultivated wheat on designated
absorption fields located near the pig farms, achieving an exceptionally strong harvest.
Sustainability Report
New Hope Liuhe Co., Ltd.
2025

0
46
New Hope Liuhe Co., Ltd.2025 Sustainability Report
Sustainable Agriculture
Sustainable
Agriculture
New Hope Liuhe is committed to an ecology-first approach to green development, advancing a crop-
livestock integration model rooted in circular agriculture principles. The Company applies advanced
technologies to ensure the safe treatment and resource recovery of livestock manure and wastewater,
and upholds stringent animal welfare standards to support healthy animal growth, which delivers
benefits for both economic performance and environmental sustainability.
Ecological Circular
Breeding
Guided by the principles of ecological circularity and waste-to-resource conversion, New Hope Liuhe
continues to deepen its crop-livestock circular agriculture model. This model achieves zero pollutant
discharge from livestock operations, effectively raises soil organic matter content, and enhances farmland
carbon sequestration capacity, supporting the broader development of ecological circular agriculture.
The “Pig-Biogas-Fertilizer-Fruit/Vegetable/Grain” Ecological Circular Model: Adapted to local conditions,
each pig farm employs one of three treatment technologies, i.e., UASB anaerobic digestion combined
with two-stage A/O processing, CSTR anaerobic digestion, or black membrane biogas systems, to convert
production wastewater into reclaimed water or biogas slurry for use in field irrigation upon meeting
discharge standards. Solid waste such as pig manure undergoes safe and stabilizing treatment through a
fully enclosed, intelligent aerobic composting system, with the resulting organic fertilizer either returned
to nearby farmland or sold commercially. This model achieves zero pollutant discharge, comprehensive
resource utilization of livestock waste, and tangible improvements in soil health.
Fermented manure generated:
98,800
tonnes
million tonnes
Reclaimed water returned to farmland:
16.32
mu, including 50,000 mu of cropland
Total absorption land:
120,000
million kg
Fresh fruits and vegetables produced:
1.20
Case
Innovating
the High-Bed
Planting Model to
Resolve Planting-
Absorption
Conflicts
To address the challenges that biogas slurry and reclaimed water application can pose to crop growth in terms
of timing and volume, New Hope Liuhe conducted a systematic assessment of the limitations of conventional
flat-bed planting. Recognizing that existing methods were poorly suited to the demands of irrigation and
nutrient absorption, the Company moved away from conventional approaches and pioneered a high-bed
planting model. By raising planting ridges and utilizing inter-ridge furrows for irrigation and drainage, the
system retains moisture through furrow irrigation during dry periods while effectively channeling excess water
during heavy rainfall. This innovation resolves the inherent tension between crop cultivation and nutrient
absorption, advancing a higher-quality integration of crop and livestock farming.
In 2025, the Company’s North China Squad used demonstration plots to shift surrounding farmers from
initial skepticism to genuine recognition of the yield-enhancing benefits of its water and fertilizer solutions.
The Company provided 20,000 cubic meters of biogas slurry free of charge for field application, helping to
cultivate a healthy regional ecosystem for crop-livestock integration.
Farmers’ wheat
fields: Weak
growth with visible
yellowing
The Company’s
wheat fields:
Deep green and
vigorous
Control Group: High-bed planting on the right (deep green, robust) versus flat-bed planting on the left (noticeably shorter plants)Crops along ridge
edges: Healthy growth, attributed to limited biogas slurry application under the Company’s absorption program
Pizhou Project: 400 mu of wheat planted using the high-bed model, yielding 865 jin per mu, significantly above surrounding farmers’ yields
Zhuwei Project: 300 mu of wheat planted using the high-bed model, yielding 987 jin per mu
Qianhuayuan Project: Combined high-bed and flat-bed planting, with high-bed plots achieving a record yield of 1,245.4 jin per mu
Animal Welfare
Protection
New Hope Liuhe operates in full compliance with the ethical and legal standards governing
animal welfare, breeding, and reproduction. The Company has developed and rigorously enforces
its Animal Welfare Management Specifications, ensuring that pigs are provided with a suitable
rearing environment, high-quality feed, and clean water throughout their entire production cycle.
The Company consistently strengthens employee awareness of animal welfare, safeguarding pigs
from disease, pain, and mistreatment while ensuring they receive appropriate care at every stage
of their lives.
Ensuring Animal Welfare
The Company strictly adheres to the five core principles of animal welfare, regulates the
use of veterinary medicines in livestock operations, and maintains high standards across
all aspects of animal husbandry, including rearing environments, feed nutrition, and health
management.
Basic Welfare
Pigs are provided with adequate space for movement and comfortable resting conditions. Air filtration systems and spray disinfection pipelines are installed to
maintain indoor air quality.
Feed is ensured to be clean, fresh, and free from mold, with formulations tailored to different growth stages for balanced nutrition.
Sufficient water supply and adequate summer ventilation are maintained to ensure a stable rearing environment.
Regular deworming and fly control are conducted to protect herd health and overall environmental hygiene.
Intelligent environmental control systems regulate day-night temperature differentials to prevent disease outbreaks caused by extreme fluctuations.
Enrichment toys are provided, three-point positioning training is implemented, and moldy feed is removed on a routine basis to keep pens clean and dry.
Breeding
Sow Welfare
Boar houses are maintained at an optimal temperature of 15-25° C.
Noise from equipment and human activity is minimized to prevent stress.
Back pressure, sitting pressure, and breast massage techniques are applied during the breeding process.
Non-irritating disinfection using clean water is used for sow genitalia to prevent uterine infections and related conditions.
Post-breeding rest and optimal feeding are ensured, and large-scale group transfers are avoided during early pregnancy.
Piglet Welfare
Piglets are grouped in advance prior to fostering to harmonize odor profiles and prevent aggression from sows.
Microorganisms, inorganic salts, iron, and other essential nutrients are supplemented according to growth stage.
A minimum space of 1 square meter per finishing pig is guaranteed, with controlled environmental conditions of 15-25° C and 60-70% relative humidity.
Health Welfare
Veterinary training is organized regularly to strengthen overall disease management capabilities.
Combined vaccination protocols are implemented to reduce injection frequency.
Needle-free injection technology is adopted to minimize immune stress.
Research into animal nutritional requirements is prioritized to ensure balanced and comprehensive dietary provision.
Psychological
Welfare
High-intensity assisted delivery is prohibited. Plastic paddles replace iron rods or electric prods for herding and transfer, allowing pigs to move freely and at their
own pace.
Group transfers are conducted calmly and quietly, with herd sizes controlled to prevent overcrowding in corridors.
Injections are administered simultaneously in corresponding pens across two rows within the same house to reduce stress from chaotic conditions.
Protective measures are applied during injection procedures to minimize stress and psychological trauma.
Pigs are fed immediately after injections to reinforce positive behavioral associations.
Dietary fiber is added to gestating sow rations to reduce hunger-related anxiety caused by restricted feeding — increasing satiety, expanding intestinal capacity,
and alleviating constipation.
Regulating Veterinary Drug Use
Reducing Preventive Antibiotic Use: The Company is committed to minimizing antibiotic use
and residues across its livestock operations through improved rearing environments, advanced
technologies, and strengthened management practices. Comprehensive antibiotic use
management systems and protocols have been established and are strictly enforced, with all drug
administration subject to rigorous oversight. The Company takes a prevention-first approach to
animal health, reducing the incidence of disease and the associated need for antibiotics through
enhanced housing conditions, refined feeding management, and measures to strengthen animal
immunity. Where drug use is necessary, precision medication protocols and disciplined disease
control practices ensure that antibiotics are used rationally and appropriately, which improves
product safety and quality while mitigating the impact of antibiotic residues on both the
environment and human health.
Regulating Veterinary Medicine Use: In full compliance with announcements and requirements
issued by the Ministry of Agriculture and Rural Affairs, the Company categorically forbids the
use of prohibited veterinary drugs in feed and commits to not administering growth-promoting
substances (e.g., hormones) to any animals. Permitted traditional Chinese medicine feed additives
are used only within specified dosages. The Company also actively invests in the development
of safer, more environmentally friendly bio-based feed products to further enhance animal feed
safety.
In 2025, there were recorded
cases of illegal veterinary drug use.

Sustainable Agriculture
{
Reducing
Food Loss and Waste
In alignment with national food security strategies, New Hope Liuhe draws on its position as a world-
leading feed enterprise to collaborate with a broad range of research partners in driving technological
innovation. To address persistent industry challenges, including low feed resource utilization rates and the
need to substitute protein and energy raw materials, the Company has developed a comprehensive suite
of grain-saving and efficiency-enhancing solutions. Through industrial-scale application, these solutions
have effectively reduced grain consumption and breeding costs, making a meaningful contribution to
national food security and the advancement of sustainable agriculture.
During the reporting period, the Company’s Feed Sector rolled out liquid fermented swine feed across
pig farms nationwide, delivering significant improvements in feed intake, daily weight gain, and feed
conversion efficiency, with cumulative soybean equivalent savings of 611,000 tonnes. The Pig Sector
shortened fattening cycles through selective breeding improvements, achieving grain savings of 37,400
tonnes. By optimizing in-house feed formulas for fattening pigs, soybean meal inclusion was reduced to
5.3%, generating an additional 100,000 tonnes in feed grain savings. Across all business segments, total
grain savings for the year reached 748,400 tonnes through formula optimization and science-based
feeding practices.
Low-Protein, Amino Acid-
Balanced Diet Technology
Building on its proprietary Hongtong formula system, the Company conducts combined in vivo digestion and in vitro bionic digestion tests to develop
an in-house database of feed raw material nutritional values.
Feed formulations are scientifically calibrated to reflect the optimal protein content, net energy levels, and digestible amino acid concentrations
required by livestock and poultry at different physiological stages, reducing dependence on protein-rich raw materials such as soybean meal.
Diversified Diet Technology
Using Coarse Grains and
Oilseed Meals
Imported coarse grains (e.g., sorghum, barley) and their blends, along with grain processing by-products (e.g., peanut cake/meal, buckwheat germ,
mixed oilseed meals, feed wheat flour, wheat middlings), are used as substitutes for corn and soybean meal. Key nutritional parameters of alternative
raw materials are rigorously measured, including chemical composition, available energy, and amino acid digestibility.
Based on the nutritional profiles and anti-nutritional factors of these alternatives, targeted additives (e.g., xylanase, phytase, compound enzymes)
are selectively incorporated to neutralize anti-nutritional effects and improve overall feed quality.
Precision Feed Formulation
and Efficient Processing
Technologies
Near-infrared rapid scanning analyzers are deployed to quickly assess the nutritional indices of both raw materials and finished products, enabling
real-time adjustment of nutritional parameters and precise control over coarse grain and oilseed meal inclusion rates.
A full-process precision management system has been established, covering raw material testing, formula optimization, production control, and
quality monitoring, ensuring end-to-end accuracy and consistency.
Total grain saved in 2025:
tonnes
tonnes
tonnes
tonnes
748,400
Soybean equivalents saved through
liquid fermented swine feed:
611,000
Grain saved through breeding
improvements:
37,400
Grain saved by optimizing in-house
fattening feed formulas:
100,000
Honors
&Accolades
New Hope’s Hongtong NH Diversified Diet Optimization
Formula System and its Key Technologies and Demonstration
of Grain-Saving, High-Efficiency Compound Feed for
Livestock and Poultry were selected for inclusion in the
Technical Product Handbook of the National Key R&D
Program, “Development and Product Creation of New Energy
Feed Resources to Replace Corn”, under the Grain-Feed Co-
production and Income Increase Initiative.
The Company was honored as an Outstanding Unit in Feed
Grain Reduction by the Sichuan Association of Feed Industry.
Sustainable
Operations
New Hope Liuhe actively embraces the national call for circular economy development, embedding the
philosophy that “lucid waters and lush mountains are invaluable assets” across every aspect of its business
operations. The Company continues to strengthen its environmental management systems, accelerate
the transition to greener production practices, and improve resource utilization efficiency, all with the aim
of reducing its operational resource footprint and environmental impact, and fostering a relationship of
harmonious coexistence between human activity and the natural world.
Total investment in environmental protection: RMB 150.60 million
Environmental
Compliance
Management
New Hope Liuhe firmly complies with national environmental laws and regulations, including the
Environmental Protection Law of the People’s Republic of China and the Environmental Impact Assessment
Law of the People’s Republic of China. Grounded in the ISO 14001 environmental management system, the
Company has established a three-tier environmental management structure comprising the Safety and
Environmental Protection Center at the corporate level, the Safety Operations and Planting Environmental
Protection Department of the Pig Sector, and the Planting Environmental Protection Departments of all
squads. Through continuous refinement of its environmental management systems and frameworks, the
Company has built a robust, long-term mechanism for environmental protection.
Strengthening Management Foundations: With a focus on standardized operations, risk mitigation, and
clear accountability, the Company has continuously improved its environmental management systems
to govern daily operations and define liability. It has worked to enhance environmental awareness
among general managers, implemented a top-leader accountability system, and taken comprehensive
steps to strengthen overall environmental governance capabilities. During the reporting period, the
Company released the Pig BG Environmental Operation Management System, which outlines 10 core
operational requirements and 10 prohibited practices for environmental management, complemented by
corresponding incentive measures. To drive performance improvement, the Company recognized the top
5% of outstanding environmental stations and the top 1% of most-improved ones. These initiatives aim
to strengthen environmental operation management, enhance frontline risk prevention, and improve the
efficiency of hazard identification and investigation.
In parallel, the Company introduced the Pig Sector BG Environmental Administrative Penalty Accountability
Management System, which establishes clear procedures for accountability, incident classification, and penalty
enforcement. By strictly holding relevant parties accountable for environmental non-compliance and resulting
administrative penalties, the Company has effectively raised environmental awareness across the organization,
improved the efficiency of collaborative risk response, and clarified the assignment of responsibilities.
Where environmental issues (e.g., excessive nutrient absorption, sewage overflow, excessive gas emissions)
were identified at certain branches in 2025, the Company responded swiftly with targeted corrective
actions. Through reinforced daily risk controls and enhanced employee awareness of environmental
compliance, these measures help prevent the recurrence of similar incidents and support the ongoing
elevation of environmental management standards.
Details of administrative penalties imposed by environmental protection authorities and other relevant
regulators in connection with environmental incidents, along with corresponding rectification measures,
are disclosed in the “Environment and Social Responsibility” chapter of New Hope’s 2025 Annual Report.
Establishing an Environmental Management System: Drawing on internal standards, including the
Environmental Risk Event Classification and Grading Standards of New Hope Group, the Environmental
Risk Early Warning and Response Mechanism, and the Comprehensive Environmental Inspection System,
the Company has established clear protocols for risk classification, early warning, emergency response,
and inspection requirements. This has strengthened the Company’s overall capacity for environmental
risk identification, early warning, and mitigation. The Company actively encourages its branches and
subsidiaries to pursue environmental management system certifications and independent audits, with
the aim of consolidating environmental management capabilities from an internationally recognized,
professionally rigorous perspective.
During the reporting period, Hebei Qianxihe Meat Industry Co., Ltd. successfully obtained ISO 14001
Environmental Management System certification.
Emission Management
New Hope Liuhe strictly adheres to all applicable national and local regulations governing waste
emissions, including the Law of the People’s Republic of China on Water Pollution Prevention and Control,
the Law of the People’s Republic of China on the Prevention and Control of Atmospheric Pollution, and the
Law of the People’s Republic of China on the Prevention and Control of Environmental Pollution by Solid
Waste. Building on this regulatory foundation, the Company has established the Solid Waste Management
System and the Hazardous Waste Management System, and has put in place a comprehensive emission
monitoring and governance framework. Through continuous optimization and innovation in production
processes, rigorous classified waste management, and strict control over the discharge of the three wastes
(wastewater, exhaust gas, solid waste), the Company is committed to maximizing resource efficiency and
minimizing its environmental footprint.
48
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Total hazardous waste generated
tonnes 8.01
Total non-hazardous waste generated
tonnes 140,386.23
Total wastewater treated
million tonnes 20.72
Chemical Oxygen Demand (COD) emissions
tonnes 10,208.86
Total ammonia nitrogen emissions
tonnes 538.07
Pig breeding wastewater recycling rate
% 84.90
Water intensity for feed processing liters/tonne 65 65 65
Water intensity for pig breeding
m³/head
2.45 2.43 2.35
Water intensity for slaughtering and meat processing
m³/head
0.35 0.35 0.40
Indicator
Unit
2025 Target
2025 Actual
2026 Target
Water Resource Usage Plan
Indicator
Unit
2025
Municipal pipe network
million tonnes 2.80
Surface water
million tonnes 2.52
Reclaimed water returned to farmland million tonnes 16.32
Total water withdrawal
Water withdrawal by source
million tonnes 28.77
Tap/municipal water
million tonnes 5.08
Surface water million tonnes 0.03
Groundwater
million tonnes 23.65
Total water discharge
million tonnes 21.65
Water discharge by channel
Sustainable Operations
Waste Category
Waste Source
Disposal Method
Exhaust Gas
Odorous
Gas
Arising from livestock and poultry
manure, sewage, feed residues, and
gases emitted from animal digestive
tracts
Intelligent, program-controlled manure removal systems are deployed in pig houses, with optimized cleaning
schedules, regulated indoor temperatures, and enhanced ventilation to minimize odorous gas generation at the
source.
Dedicated deodorization rooms equipped with spray systems capture odorous gases and convert them into liquid
form; odorous molecules attached to particulates are eliminated through wet absorption and oxidation, while
remaining odorous gases react with emulsifiers in solution for effective removal.
Biogas
Generated through the anaerobic
fermentation of livestock and poultry
manure
Fully utilized on-site as a renewable energy source for power generation and heating.
Wastewater
Breeding
Wastewater
Comprising animal urine, partial
manure, and barn flushing water
Three proven treatment technologies, i.e., UASB anaerobic digestion combined with two-stage A/O processing,
CSTR anaerobic digestion, and black membrane biogas systems, are applied to convert wastewater into reclaimed
water or biogas slurry, which is subsequently used for agricultural field irrigation.
Domestic
Wastewater
Discharged from the Company’s offices
and staff canteens
Regular self-inspections and periodic third-party testing of treated effluent are conducted to ensure full compliance
with applicable discharge standards before release into the municipal pipe network.
Solid Waste
Hazardous
Waste
Including medical waste, pesticide and
herbicide residues from production, and
waste reagents, waste acids, and waste
alkalis from laboratory operations
The Hazardous Waste Management System standardizes all stages of hazardous waste handling, from collection and
storage through to final disposal.
Dedicated on-site hazardous waste storage rooms provide temporary containment with comprehensive
recordkeeping; waste is periodically transferred to qualified third-party facilities for certified harmless treatment.
Deceased
Livestock
and Poultry
Generated in the course of breeding
operations
Carcasses are temporarily stored and disposed of in strict accordance with the Standards for the Disposal of
Deceased Livestock and Poultry, with complete and traceable records maintained. Unauthorized storage, burial, and
other illegal practices are strictly prohibited.
Solid
Manure
Separated from manure ditches by
scrapers or solid-liquid separators
Construction
and
Domestic
Waste
Processed through high-temperature aerobic fermentation in accordance with the Specifications for Solid Manure
Disposal to produce organic fertilizer, which is subsequently applied to agricultural fields.
Generated from construction activities
and daily operations
In accordance with the Solid Waste Management System, fixed and clearly labeled classified waste collection points
are maintained across all sites. Random scattering, unauthorized discarding, burial, and open incineration are strictly
prohibited.
Indicator
Unit 2025
Wastewater
Solid Waste
Water Resource
Management
New Hope Liuhe prioritizes the efficient use of water resources and operates in strict compliance with the
Water Law of the People’s Republic of China and all other relevant regulations. The Company continuously
refines its water resource management practices and implements water-saving initiatives across every
dimension of its operations, from production processes to day-to-day facility management. By actively
promoting water recycling and progressively reducing overall consumption, the Company strives to
manage water as a shared and finite resource. Water used across the Company’s operations is sourced
primarily from municipal water supply, surface water, and groundwater, with no significant environmental
impact attributable to the Company’s water source selection.
Mitigating Water Usage Risks: Key production sites conduct comprehensive water quality
assessments on a quarterly basis. Where water quality is found to be substandard, root cause
analyses are performed and targeted remediation measures (e.g., turbidity treatment, sterilization,
disinfection) are promptly implemented to ensure that on-site water supply consistently meets
operational requirements.
Strengthening Water Management: The Company is actively advancing the intelligent upgrading
of water meters across all sites, while optimizing supply metering for wells and reservoirs.
Consumption in sow farms, fattening farms, and environmental protection zones is tracked
through dedicated metering systems. Each site conducts monthly classified data analysis, with
an intelligent management platform enabling real-time monitoring of water usage patterns to
drive continuous improvement. Routine inspections are reinforced to promptly address running,
overflowing, dripping, and leaking fixtures, thereby minimizing unnecessary water waste across
all facilities.
Saving Production Water: Pressure relief valves in each barn are uniformly calibrated for optimal pressure
and height; control floats are installed in flushing buckets to prevent overflow; and curtain operation
and water flow volumes are strictly regulated. Dedicated faucets and flushing tools are provided in
corridors and gestation barns across all sites, which improves water use efficiency without compromising
operational effectiveness.
Packaging
Management
Upholding the 5R principle (i.e., reduction, reusability, recyclability, renewability, and degradability), New
Hope Liuhe drives the transition to sustainable packaging across the full product lifecycle, from design
and manufacturing through to use and end-of-life disposal, to continuously minimize the environmental
footprint of packaging waste.
Packaging Material Reduction
The Fresh Meat Division of the Pig Sector primarily adopts bulk packaging for B-end customers, which
reduces overall packaging consumption at the source.
In the Feed Sector, the Company emphasizes bulk procurement of raw materials; bulk purchases
accounted for more than 58% of total procurement during the reporting period, significantly curtailing
packaging bag usage. At the finished product stage, 51% of feed products were delivered via bulk trucks,
an increase of approximately 6% year-on-year. Based on conventional packaging specifications, the
Company reduced packaging bag usage by 231,000 units in 2025, representing a year-on-year decrease
of 67,000 units.
Packaging Material Recyclability
The Feed Sector has established a comprehensive procurement and quality management system for
woven bags, stipulating that recycled materials may be incorporated in production provided packaging
integrity and quality are maintained. In 2025, a total of 20,500 tonnes of recycled plastic materials were
utilized across the sector.
At overseas operations, the Company has implemented a packaging reverse-recycling system in
select regions: intact packaging undergoes quality inspection before re-entering the secondary
packaging circulation market, while lower-grade packaging is directed to renewable resource
channels, supporting closed-loop supply chain management. The Company has also established a
community recycling co-governance mechanism in collaboration with surrounding villages, which
defines clear benefit-sharing arrangements whereby recycling proceeds flow back to farmers and
local residents.
Packaging Reusability
At overseas operations, the Company prioritizes reusable plastic turnover baskets for chick transportation
to reduce reliance on single-use cardboard packaging. A deposit system incentivizes customers to return
baskets after use, enabling a traceable and accountable recycling loop.
50
New Hope Liuhe Co., Ltd.2025 Sustainability Report

{
Addressing Climate Change
Climate Governance
Climate Strategic
Planning
Enhancing Climate
Resilience
New Hope Liuhe’s Three-Year Dual Carbon Strategic Plan (2023-2026)
Strategic Goal 2025 Progress
Risks/Opportunities
Description
Potential Financial Impact
Response Measures
Sustainable Operations
Case
Feed Woven Bags
Reimagined as
Eco-Friendly Bags
for Children
In September 2025, New Hope’s Philippines Region further advanced its localized sustainable community
engagement efforts by launching the heartwarming “Knitting Hope · Childlike Environmental Bags” initiative
for children in surrounding communities. Volunteers from the Central Luzon Branch visited local schools and
neighborhoods, handing out candies, eco-friendly lunch bags, and shopping bags made from upcycled
feed woven bags to children and residents — bringing environmental protection concepts to life through
hands-on, meaningful action.
Total packaging material usage:
28,300
tonnes
tonnes
tonnes
tonnes
Paper
material
usage: 2,100
Plastic
packaging
usage: 26,200
Recycled plastic
materials used in
feed packaging: 20,500
Reduction in
feed packaging
bag usage: 231,000
units
Addressing
Climate
Change
In response to the Paris Agreement and the National Climate Change Adaptation Strategy 2035, New Hope
Liuhe places climate-related risk identification and management at the forefront of its operations while
advancing energy conservation and emissions reduction initiatives to support China’s carbon peaking and
carbon neutrality objectives.
New Hope Liuhe has progressively established a climate change governance framework led by the Board
of Directors and the Strategy and Sustainability Committee, with the management team at its center and
operational execution carried out by the Safety and Environmental Protection Center at the corporate level,
together with the Planting Environmental Protection Departments, Administration Departments, and other
relevant departments across all sector BUs. Through this top-down governance structure, the Company
ensures that climate initiatives are advanced in a systematic and well-coordinated manner.
Board of Directors
Strategy and Sustainability Committee
Define the Company’s overarching climate change strategies; oversee climate-related risks and opportunities; review climate-related
goals; and provide guidance and recommendations based on management reports on climate initiatives.
Management Team
Develop and coordinate major policies and strategies; identify climate-related risks and opportunities for integration into business
operations; manage climate goals; and drive the orderly implementation of climate response and low-carbon development efforts.
Safety and Environmental Protection
Center at the corporate level
Planting Environmental Protection
Departments, Administration
Departments, and other relevant
departments across all sector BUs
Formulate action strategies, goals, annual plans, and performance indicators aligned with the Company’s operational context.
Implement Group-level strategies and targets; drive project delivery and program execution; coordinate energy conservation and carbon
emission reduction measures across all sites and squads; consolidate relevant data; and ensure closed-loop management of energy
conservation and carbon emission reduction efforts.
Drawing on climate-related risk and opportunity assessments, New Hope Liuhe proactively integrates
climate change response and dual-carbon commitments into its strategic planning, enterprise risk
management system, and day-to-day operations. The Company has developed a Three-Year Dual Carbon
Strategic Plan (2023-2026), anchored in five core focus areas: green electricity adoption, biogas utilization,
circular water use, biological carbon sequestration, and carbon trading. The Company also monitors
emerging trends and evolving demands within the low-carbon transition, with a particular focus on
sustainable agriculture, to strengthen development resilience and foster long-term, sustainable growth.
Green
Electricity
Adoption
By 2026, substantially increase the share of green electricity
across all sectors and achieve full PV coverage for all eligible
Feed and Pig sector projects.
The scale of newly connected PV projects rose 11% year-on-year.
Installed capacity of connected PV projects increased 29% year-on-year.
Green electricity supply grew 33% year-on-year.
Circular
Water Use
Promote water recycling models (e.g., circular water use,
reclaimed water irrigation, manure application to fields) to
directly reduce freshwater consumption and indirectly cut
energy use associated with chemical fertilizer production.
Reclaimed water irrigation was vigorously promoted, with 16.32 million tonnes of
reclaimed water applied to farmland, significantly reducing overall water consumption.
Carbon
Trading
Advance the application and certification of carbon sink
projects (e.g., GS, VCS standards) in the Pig Sector to generate
verified carbon emission reductions for offsetting the
Company’s own emissions.
Continued to advance the “Pig-Biogas-Fertilizer-Fruit/Vegetable/Grain” ecological
circular model to enhance farmland carbon sequestration and soil carbon sink capacity.
In 2025, absorption land covered 120,000 mu (including 50,000 mu of farmland),
yielding 98,800 tonnes of fermented manure and 1.20 million kg of fresh fruits and
vegetables, achieving 157,500 tCO2e in biological carbon sequestration.
Delivered two phases of carbon indicators to Volkswagen Group, including 100,000
tonnes in 2025.
As of December 31, 2025, 10 carbon emission reduction projects had been signed, with
925,100 tonnes of indicators issued and 590,500 tonnes sold.
Promote the cultivation of crops (wheat, corn, etc.) and fruit
trees (peach, wogan orange, apple, etc.) and the protection
of forests on Pig Sector absorption land (farmland and
forestland) to offset carbon emissions through biological carbon
sequestration.
Biologica
Carbon
Sequestration
New Hope Liuhe regards climate change as both a pressing challenge and a strategic opportunity. The
Company systematically researches climate-related risks, rigorously evaluates its capacity to adapt to and
mitigate such risks, and actively positions itself to capitalize on emerging opportunities in a transitioning
climate landscape, working to transform risks into resilience and challenges into long-term growth drivers.
Physical Risks
Extreme Weather
Increasing frequency and intensity of floods,
typhoons, extreme rainfall, and other severe
weather events disrupt the growth, processing,
and transportation of upstream raw materials. Such
events also endanger employee safety, interrupt
factory operations and business continuity, and
may damage tangible assets and construction
equipment, resulting in elevated maintenance and
repair costs.
Operating cost
increase, Revenue
decline, Asset
impairment
Closely monitor extreme weather developments, comprehensively
assess their impact on suppliers and supplier response capabilities,
and reduce dependence on single-source procurement.
Develop and maintain emergency response plans for extreme
weather scenarios, pre-position emergency resources, and
conduct regular drills to strengthen preparedness and response
effectiveness.
Integrate regional climate risk assessments into the site selection
and planning process for new projects.
52
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Clean Energy Transition
Improving Energy
Efficiency
Natural gas (million m³)
72.50
78.79
88.50
Electricity (million kWh) 940.00
970.90
1,090.00
Natural gas (million m³)
37.10
24.02 30.00
Electricity (million kWh)
598.00
662.47
603.00
Natural gas (million m³)
3.10 1.16
2.70
Electricity (million kWh) 54.00
50.46 53.00
Sector
Indicator
2025 Target
2025 Actual
2026 Target
Addressing Climate Change
Risks/Opportunities
Description
Potential Financial Impact
Response Measures
Rising Temperatures
Elevated temperatures may compromise employee
health and livestock welfare, degrade equipment
performance, and drive up operating costs.
Increasingly frequent or prolonged power outages
associated with rising temperatures pose risks of
production stoppages.
Operating cost
increase, Revenue
decline, Asset
impairment
Implement comprehensive cooling measures and enforce
working-hour controls for employees in high-temperature
environments, and ensure the provision of necessary
protective supplies.
Closely monitor livestock breeding environments, apply
targeted cooling controls, and maintain optimal conditions
for animal growth.
Enhance production energy efficiency through energy-
saving technology upgrades and the optimization of
energy supply structures.
Transition Risks
Policies
and Regulations
Increasingly stringent national environmental policies
and accelerating energy structure transformation are
expected to raise the Company’s energy costs and
heighten regulatory compliance risks.
The Shenzhen Stock Exchange (SZSE) is progressively
strengthening climate-related disclosure requirements
under its sustainable development framework, placing
new demands on the Company’s climate governance
and reporting practices.
Operating cost
increase
Proactively engage with local regulatory authorities;
continuously research, track, and communicate changes
in environmental and carbon-related laws and policies;
adapt proactively to evolving regulatory requirements; and
strengthen internal management systems and compliance
disclosures.
Market and
Technology
Customers are imposing increasingly stringent carbon
emission reduction requirements on products. The
adoption of green and low-carbon technologies will
significantly influence the Company’s competitive
positioning, while the costs associated with low-carbon
transition continue to rise.
Operating cost
increase, Revenue
decline
Expand the application of low-carbon technologies
and accelerate the green transformation of agricultural
operations to reduce product carbon footprints.
Conduct carbon verification exercises, advance carbon
emission reduction pathway planning, and rigorously
evaluate investment returns and feasibility prior to
implementing low-carbon transition initiatives.
Reputation
Heightened environmental performance disclosure
requirements have increased compliance costs
associated with maintaining and enhancing corporate
reputation.
Failure to honor external carbon emission reduction
commitments may invite greenwashing accusations
from investors and the public, causing material
damage to brand reputation and corporate image.
Operating cost
increase, Revenue
decline
Provide timely and transparent disclosure of the
Company’s climate change response, encompassing
strategic planning, reduction targets, concrete actions,
and performance outcomes.
Rigorously review all disclosed information to eliminate
inaccuracies, ensure full alignment with actual operations,
and build a prudent and accountable corporate image
through demonstrable actions.
Transition Opportunities
Resource
Efficiency
The adoption of energy-saving technologies and
equipment reduces production energy consumption,
lowers operating costs, and improves production
efficiency and overall supply capacity.
Revenue growth,
Operating cost
reduction
Broadly apply energy-saving technologies and
equipment, establish a comprehensive energy
management process, and systematically reduce energy
costs.
Develop a robust ecological circular breeding system
to minimize waste generation and maximize resource
recycling and reuse.
Energy Structure
The deployment of renewable energy sources (e.g.,
distributed PV systems, biomass fuels) drives the
transformation of the energy mix, reduces carbon
emission intensity, and lowers overall energy costs.
Operating cost
reduction
Actively advance the development of distributed PV
and wind power projects to increase the proportion of
green electricity in the energy mix.
Progressively scale up the use of clean energy sources,
including biomass fuel, across operations.
Market
The crop-livestock circular agriculture model
enhances agricultural carbon sequestration capacity,
while the development of agricultural carbon sink
projects creates both environmental and economic
value.
Revenue growth
Deepen the circular agriculture model, expand carbon sink
potential across farmland soils and crops, promote biological
carbon sequestration and carbon asset development, and
actively participate in the carbon trading market.
New Hope Liuhe is steadily expanding its renewable energy portfolio by accelerating the deployment of
distributed PV power generation facilities, promoting the reuse of biogas, and increasing the share of clean
energy in its overall energy mix. In 2025, the Company commissioned 4.42 MW of newly connected PV
installed capacity and 0.26 MWh of energy storage capacity, with an additional 27.57 MW of PV capacity
and 4.20 MWh of energy storage capacity either under construction or in the planning stage. As of the end
of 2025, the total installed capacity of the Company’s operational PV projects reached 19.64 MW. Over the
course of the year, these projects generated 15.60 million kWh of clean electricity, reducing GHG emissions
by 8,278.85 tCO2e.
The PV project at Sheyang Liuhe Feed Co., Ltd. was successfully connected to the grid on June 15, 2025.
The Company has issued and implemented the Energy Conservation and Consumption Reduction
Guidelines, driving refined energy management across all operations. Through energy-saving technology
upgrades to facilities and equipment, targeted conservation training, and a range of complementary
initiatives, it continues to improve energy efficiency and deliver meaningful energy savings.
Feed Business (including that
of the Feed BU, Overseas
Sector, and Pig Sector)
Pig
Breeding
and
Slaughtering
Breeding
Fresh Meat
Strengthening Energy Management: The Company has established and brought into stable operation
a first-level metering, monitoring, and management platform for water and electricity consumption,
enabling real-time oversight of energy usage across all operating sites. Ongoing comparative analysis
through this digital platform drives continuous optimization of energy efficiency performance.
Energy-Saving Transformations: The Company has systematically replaced conventional lighting systems
with energy-efficient LED fixtures, upgrading approximately 22,000 units to 12-watt lamps and achieving
a 33.3% reduction in lighting energy consumption. In addition, the replacement of high-energy-consuming
gas water heaters with ultra-low-temperature air-source heat pump units delivered a further 40% energy
saving.
Enhancing Energy Conservation Awareness: The Company organized three dedicated energy management
training sessions, covering intelligent platform operation and daily water and electricity conservation
practices, with a total of approximately 1,000 manager attendances.
54
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Indicators and Targets
Gasoline consumption
Diesel consumption
Natural gas consumption
Purchased electricity
Operational PV power generation
PV power consumption
Purchased steam
Total energy consumption
Energy consumption intensity
Direct GHG emissions (Scope 1)
Indirect GHG emissions (Scope 2)
Total GHG emissions
GHG emission intensity
liters
liters
million kWh
million kWh
million kWh
million kWh
tonnes
tce
tce/RMB million revenue
tCO2e
tCO2e
tCO2e
tCO2e/RMB million revenue
324,967.26
7,771,617.40
103.97
1,683.83
15.60
12.95
593,697.91
433,021.97
4.05
245,682.20
1,047,041.65
1,292,723.85
12.10
Indicator
Unit
2025
Addressing Climate Change
Impact, Risk and
Opportunity
Management
10
Climate Risk and Opportunity Management Process
Carbon Asset Development
Integrating technological and institutional innovation, New Hope Liuhe leverages the absorption land
associated with its Pig Sector to conduct carbon accounting and emission reduction projects in the
breeding sector in accordance with the Verified Carbon Standard (VCS). The Company actively promotes
biological carbon sequestration and the development of carbon assets, delivering triple wins across
ecological, environmental, and economic dimensions.
Since signing a Memorandum of Understanding on a GHG emission reduction project with a Volkswagen
Group affiliate in September 2023, the Company has supplied a cumulative total of 282,500 tonnes of
carbon indicators to Volkswagen Group across two phases, including 100,000 tonnes delivered in 2025.
Total carbon emission reduction
development projects signed:
Total certified carbon
emission reduction credits:
925,100
tonnes
To effectively identify, assess, and manage the potential impacts of climate-related risks and opportunities
on its operations, New Hope Liuhe has established a structured climate risk and opportunity management
process, conducting regular reviews of both internal and external climate-related factors.
Identification of Climate Risks and
Opportunities
Climate-related risks and opportunities are
identified in alignment with the framework
recommendations of IFRS S2 Climate-
related Disclosures and the Guidelines No.
3 of Shenzhen Stock Exchange for the Self-
Regulation of Listed Companies — Preparation
of Sustainability Reports.
Materiality Assessment of Climate
Risks and Opportunities
Internal and external risk management
tools are applied to identify climate risks
and opportunities with material impacts
on the Company’s business, evaluated
on the basis of probability of occurrence
and magnitude of potential impact.
Management of Climate Risks and Opportunities
Material climate risks and opportunities are integrated into the
Company’s risk management system, subject to regular monitoring
and dynamic strategic adjustment to ensure continued alignment
with policy developments and market demands.
To address climate-related challenges, the Company refines its
climate risk emergency response plans, pre-positions emergency
resources, and conducts regular drills. Response mechanisms are
continuously optimized to strengthen extreme weather preparedness,
enhance climate resilience, and elevate the overall standard of climate
governance.
Guided by its Three-Year Dual Carbon Strategic Plan (2023-2026), New Hope Liuhe has developed a
science-based carbon emission reduction roadmap and continuously tracks progress toward its targets.
Note: GHG emissions reported herein
refer solely to carbon dioxide and exclude
other greenhouse gases (e.g., methane,
nitrous oxide) from other emission
sources. Scope 1 GHG emissions cover
emissions from fossil fuel combustion
(diesel, gasoline, natural gas, etc.) and
industrial processes. Emission factors
are calculated in accordance with the
national standard GB/T 32151.25-2024
Requirements of the Greenhouse Gas
Emission Accounting and Reporting—
Par t 25: Food, Tobacco, Alcohol,
Beverage and Refined Tea Enterprise.
Scope 2 GHG emissions cover emissions
attributable to purchased electricity and
heat. The 2024 electricity emission factor
references the national average power
grid emission factor specified in the
Announcement on the Release of Carbon
Dioxide Emission Factors for Electricity
in 2023 (Announcement No. 47 of 2025)
jointly issued by the Ministry of Ecology
and Environment and the National
Bureau of Statistics.
Ecosystem
and Biodiversity
Conservation
New Hope Liuhe places biodiversity conservation at the heart of its environmental stewardship agenda,
actively advancing the model of agricultural-livestock recycling and crop-livestock integration. The
Company implements targeted measures to prevent and mitigate the ecological impacts of its operations,
which contributes to the sustainable development of agricultural ecosystems in the regions where it
operates.
Biodiversity Conservation
Throughout the planning, design, construction, and day-to-day operation of pig farms, the Company
adheres strictly to all applicable laws, regulations, and policies, including the Environmental Protection Law
of the People’s Republic of China, the Environmental Impact Assessment Law of the People’s Republic of
China, the Law of the People’s Republic of China on Prevention and Control of Soil Contamination, and
the Opinions on Further Strengthening Biodiversity Protection. The Company prioritizes the protection of
native vegetation and habitats within developed areas, and implements a comprehensive suite of measures
to mitigate the impact of farm construction and operations on local habitats and ecosystems, striving to
achieve harmonious coexistence between its business activities and the natural environment. During the
reporting period, the Company did not establish new operations in government-designated key ecological
functional areas or other areas of high biodiversity value, nor did any new projects result in significant
impacts on protected or restored habitats.
Biodiversity Conservation Commitments
Production and
Operations
Adhere to national requirements governing the spatial layout of livestock and poultry breeding facilities, the cultivated land red line, and the “three
lines and one list” (i.e., ecological protection red line, environmental quality baseline, resource utilization upper limit, and ecological environment access
list) eco-environmental zoning management framework; refrain from conducting operations in World Heritage Sites or no-development zones within
ecological red lines, prohibit deforestation, avoid restricted breeding areas (e.g., nature reserves, key ecological functional areas, scenic spots) and arid
or water-scarce regions, and ensure that local water sources and ecosystems are not damaged.
Apply scientific methodologies to assess the impact of pig farm site selection and operational activities on biodiversity, implementing appropriate
measures to reduce negative impacts and enhance positive ecological outcomes.
Conduct rigorous assessments of potential project impacts on surrounding ecosystems. In response to increasingly frequent extreme weather events,
formulate post-emergency protection and restoration plans to safeguard and rehabilitate native vegetation on company-operated land, maintain soil
health, prevent soil erosion, and enhance carbon sink capacity.
Upstream and
Downstream
Management
Procure and utilize natural resources and raw materials in a sustainable manner, minimizing adverse impacts on biodiversity and ecosystems throughout
the supply chain.
Strengthen communication and collaboration with external stakeholders to jointly advance biodiversity conservation and ecological restoration
initiatives.
Land Use Improvement
New Hope Liuhe strictly adheres to all applicable land use laws and regulations across its operating regions,
ensuring full compliance in land development, utilization, and reclamation. The Company has established
clear land use objectives centered on soil and water conservation, vegetation restoration, and soil quality
improvement, underpinned by a robust environmental monitoring mechanism. Regular monitoring and
evaluation ensure the consistent achievement of these objectives and the sustained effectiveness of land
use improvement efforts over time.
Soil Improvement
The Company consistently advances research into manure treatment technologies and soil improvement models. Production sewage is treated through
established processes including UASB anaerobic digestion combined with two-stage A/O processing, CSTR anaerobic digestion, and black membrane
biogas systems, while fermented manure is produced via high-temperature aerobic fermentation. Drawing on comprehensive assessments of terrain,
soil properties, crop types, and fertilizer demand cycles, the Company has developed standardized field application models to enable the efficient
utilization and conversion of liquid fertilizer. These practices enhance soil organic matter content, fertility, and physical structure; reduce reliance on
chemical fertilizers; and deliver measurable improvements to the local ecological environment.
For further details on soil improvement initiatives, please refer to the “Sustainable Agriculture” section of this report.
Soil Reclamation
The Company undertakes targeted ecological restoration and soil reclamation at selected sites. Representative examples include the slope protection
project at the Datang Town facility in Nanning, Guangxi, where retaining walls are supplemented by 39,115 square meters of vegetation coverage, and
the Haikou Fattening Farm, where over 14,000 square meters of grassland have been established, which collectively strengthens ecosystem stability
and resilience across these sites.
56
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Ecosystem and Biodiversity Conservation
In October 2025, the Sichuan Native Pig Breeding Consortium was showcased at the Animal Breeding Forum.
案例
Germplasm Resource Protection
The livestock and poultry seed industry serves as the strategic “core” of animal husbandry and represents
a foundational sector critical to safeguarding national food security, food safety, and ecological security.
New Hope Liuhe actively invests in scientific breeding programs, making meaningful contributions to the
protection and development of high-quality germplasm resources. For further details on breeding research
and innovation, please refer to the “Nutrition and Health R&D” section of this report.
Case
Case
Case
Leading the Establishment of the Sichuan Native Pig Breeding Consortium to Advance Local Pig
Germplasm Protection and Precision Breeding
New Hope Breaks Through Indonesia’s Great-Grandparent Poultry Seed Bottleneck
In October 2025, New Hope Liuhe joined forces with leading Sichuan-based breeding enterprises, including Sichuan Dekang Agriculture and Animal
Husbandry Food Group Co., Ltd., Sichuan Modern Seed Industry Group, and Techlex Group, to establish the Sichuan Native Pig Breeding Consortium,
taking the lead in mobilizing coordinated breeding efforts across the industry.
Sichuan Province is home to 8 local pig genetic resources and 4 newly cultivated pig breeds (including matching lines), providing a solid foundation
for regional seed industry development. All consortium members possess extensive experience in pig performance testing, genetic selection, and
commercial-scale production. Guided by market demand, the Consortium will integrate high-quality local pig germplasm resources across Sichuan, build
a full-chain R&D system spanning resource conservation through breed cultivation, and address the long-standing industry pain point of “high quality
but low commercial value” through comprehensive industrial chain deployment, driving the local pig industry toward greater scale and standardization.
In December 2025, New Hope Liuhe’s Breeding Division successfully developed a 60K high-density solid-phase SNP genotyping chip, which integrates
key functional loci for early-stage pig selection with distinctive genetic resources of indigenous Chinese pig breeds. As China’s first chip capable of
supporting the identification of commercial local pig breeds, it provides robust technical support for advancing the breeding system and strengthening
the protection and utilization of local germplasm resources.
New Hope’s great-grandparent chicken farm project in Indonesia was completed in July 2025, with the first batch of great-grandparent chickens
introduced in August. With a total breeding capacity of 21,000 sets of great-grandparent broiler breeders, the facility is equipped with fully enclosed
standardized housing, professional incubation infrastructure, and comprehensive production, living, and environmental protection support systems.
Since commissioning, all key production indicators have exceeded the local industry average. When fully operational, the project is expected to produce
770,000 sets of parent generation breeders and 127 million commercial chicks annually, fully meeting the Company’s current business requirements in
58
New Hope Liuhe Co., Ltd.2025 Sustainability Report
Indonesia.
Previously, Indonesia relied entirely on imported broiler great-grandparent seeds, subject to strict quota controls. Through in-depth cooperation with
local Indonesian partners, New Hope has resolved the longstanding industry challenge of breeder introduction and achieved independent control over
its seed supply. This project completes the critical breeding link within the Company’s full poultry industry chain in Indonesia, establishing strong strategic
synergy with its existing feed, parent generation breeding, and commercial generation breeding operations, which paves the way for the Company’s
long-term sustainable development in the Indonesian market.

4
61
73
74
Contribute to the UN 2030
Sustainable Development Goals (SDGs)
Value Co-
creation for
Common
Prosperity
Enabling Employee Growth
Empowering Farmers
Caring for Society
August 28, 2025: Villagers raising chicks in Monofiya Governorate, Egypt.
Photographer: Ahmed Gomaa
Sustainability Report
New Hope Liuhe Co., Ltd.
2025
Chapter Content

Employee Rights
and Well-being
Strategy and
Management Approach
Governance
Good Mutual Assistance Funds being
presented to employees in need
62
New Hope Liuhe Co., Ltd.2025 Sustainability Report
Enabling Employee Growth
Human Rights Commitments
Enabling
Employee
Growth
Upholding its founding philosophy of “stand firm in belief, endure with passion,” New Hope Liuhe regards
talent as the core engine of sustainable development. The Company effectively safeguards employees’
legitimate rights and interests, establishes a comprehensive platform for professional growth, and aligns its
talent needs with employees’ personal development aspirations. Through these efforts, it seeks to attract,
develop, retain, and engage a high-caliber workforce — all while sharing the benefits of the Company’s
development with its people. The Company also actively fosters an inclusive, harmonious, and supportive
workplace culture, enabling employees’ personal fulfillment and the Company’s long-term growth to
advance in tandem.
Guided by a people-centric philosophy, New Hope Liuhe places the protection of employee rights
and interests and the cultivation of harmonious labor relations at the forefront of its human resources
agenda. The Company continuously refines its management practices to be more systematic, precise,
and responsive to evolving needs, striving to create a workplace environment that is fair, equitable, and
respectful for every employee.
As the company-wide responsible body for employee rights protection, the Human Resources Department
consistently strengthens the human resources management system and refines key governing policies,
including the Human Resource Management Regulations, the Rest, Leave and Attendance Management
Regulations, the Employee Resignation, Retirement, Re-employment and Rehiring Management Measures,
and the Welfare and Allowance Management Measures. The Human Resource Management Regulations
serve as the Company’s core labor management policy, applicable to all employees. By clearly defining
employee codes of conduct, attendance and leave, talent development, compensation and benefits,
employee relations, and reward and disciplinary mechanisms, it comprehensively safeguards the legitimate
rights and interests of both the Company and its workforce. During the reporting period, the Company
revised its New Employee Probation Management Measures, further standardizing and refining employee
management practices through systematic institutional iteration.
Labor and Human Rights Management
The Company strictly complies with all applicable national laws and regulations, including the Labor Law
of the People’s Republic of China and the Labor Contract Law of the People’s Republic of China, as well
as international human rights norms such as the UN Universal Declaration of Human Rights and the ILO
Declaration on Fundamental Principles and Rights at Work, together with the local laws and regulations
of all regions in which it operates. The Company has formulated a Human Rights Policy Statement that
embeds fundamental human rights protections into every aspect of its work environment and labor
management practices, which is applicable to both its own operations and its supply chain. During the
reporting period, the Company recorded no human rights or labor compliance incidents of any kind,
including child labor, forced labor, employee discrimination, or workplace harassment.
Recipient of the Approved Employer
designation awarded by the Association
of Chartered Certified Accountants
(ACCA)
Compliant
Employment
The Company has established a robust and compliant labor management system, strictly implementing the labor contract regime and maintaining an
absolute prohibition on child labor, forced labor, and human trafficking. The Company respects every employee’s right to free career choice, providing
objective and accurate job information during the recruitment process to fully protect candidates’ autonomy in decision-making. In the workplace,
employees are never coerced into undertaking work contrary to their intentions, and their pursuit of individual career goals and professional development
is actively supported. These commitments form a solid institutional foundation for the cultivation of harmonious labor relations.
Anti-discrimination and
Anti-harassment
The Company upholds a strict zero-tolerance policy toward all forms of workplace harassment, explicitly prohibiting physical, psychological, sexual, and
verbal harassment, as well as abuse of any kind. These prohibited behaviors are clearly defined in the Human Resource Management Regulations and the
Management Measures for Accountability (Trial). Employees found to have engaged in sexual harassment, made demands through improper channels,
disseminated false or damaging information via workplace communication tools or in person, or insulted, harassed, defamed, or threatened colleagues
are deemed to have committed serious violations and are subject to dismissal in accordance with applicable regulations.
Working Hour
Management
Guided by established institutional frameworks, the Company standardizes the management of working hours and overtime, implementing a scientifically
designed working hour system and labor intensity standards to fully protect employees’ legitimate rights to rest and leave. Recognizing the distinct business
characteristics of each sector and the requirements of local regulations, the Company formulates differentiated shift arrangements, working hour policies, and
attendance rules for different regions and positions, enabling precise and effective labor management. The Company advocates a culture of efficiency, actively
controls the duration and frequency of overtime, and discourages overtime work except in special or emergency circumstances. Management accountability for
operational efficiency is reinforced through institutional mechanisms that promote a healthy work-life balance for all employees.
Freedom of Association
and Collective Bargaining
The Company respects and protects employees’ freedom of association, ensuring that all employees have the right to form and join trade unions
in accordance with the law and to safeguard their legitimate rights and interests through collective bargaining. The Company has formulated the
Implementation Rules for the Workers’ Congress of New Hope Liuhe Co., Ltd., and all subsidiaries have established workers’ congresses and/or trade
unions, with workers’ congresses serving as the primary representative body. Important matters, including revisions and implementations of internal
rules and regulations, are publicized through democratic procedures, and employees are afforded full opportunity to provide feedback and exercise their
rights to participation and oversight.
Human Rights Due Diligence
New Hope Liuhe has established a comprehensive human rights due diligence mechanism covering its
entire operations and supply chain, enabling the systematic identification, prevention, and mitigation of
potential human rights impacts. The due diligence process follows a structured closed-loop management
cycle: assessing actual and potential impacts, integrating findings into concrete actionable measures,
monitoring implementation effectiveness, and communicating approaches and outcomes to relevant
stakeholders. Due diligence is initiated at an early stage whenever the Company expands into new
business areas or establishes new partnerships. In conducting impact analysis, the Company consistently
deepens its understanding of the historical, legal, social, and cultural contexts of its operating regions.
It rigorously examines how its business activities may create or contribute to human rights impacts,
whether actual or potential, and incorporates these findings into the Company’s and its operating assets’
major risk frameworks for dynamic monitoring and continuous optimization of preventive measures. In
terms of stakeholder engagement, the Company proactively engages with potentially affected groups
to understand their perspectives, reduce power imbalances, and build relationships grounded in mutual
respect, trust, and transparency, which ensures that human rights protection is embedded throughout all
aspects of corporate governance and business operations.
Grievance Mechanism and Remediation
To ensure that all stakeholders can raise concerns effectively, the Company has established a confidential,
24/7 helpline accessible to employees, contractors, suppliers, and members of the public affected by
its operations. The Company is committed to acknowledging, reviewing, and documenting all issues
raised through this channel. Once a complaint is verified, it will provide or facilitate appropriate remedial
measures, maintain ongoing communication with affected stakeholders regarding outcomes, and
reintegrate lessons learned into the due diligence process for continuous improvement. In accordance
with the Company’s code of conduct, New Hope Liuhe prohibits any form of punishment, disciplinary
action, or retaliation against individuals who raise concerns or cooperate with investigations, effectively
upholding the right to redress and ensuring that the Company’s human rights commitments are translated
into consistent practice across all dimensions of governance and operations.
Welfare and Care
Welfare Protection
The Company has built a diversified and multi-tiered employee welfare system. Beyond full compliance
with all statutory benefit requirements, the Company continually enriches its supplementary welfare
offerings to strengthen employees’ sense of well-being and organizational belonging, enabling them to
enjoy meaningful work and a high quality of life.
Statutory Benefits
Social insurance package, housing provident fund contributions, and all other statutory benefits are provided in full compliance with applicable laws and
regulations.
Supplementary
Benefits
Provisions include free accommodation and meals, annual employee health examinations, meal subsidies, communication allowances, transportation subsidies,
housing subsidies, holiday gifts and bonuses, hardship condolence payments, welfare leave, and Wonderland of New Hope Liuhe surprise box activities.
Statutory Leave
Employees are entitled to the full range of statutory leave types in accordance with the law, including public holidays, annual paid leave, statutory festival leave,
personal leave, sick leave, marriage leave, maternity and parental leave, and bereavement leave. Leave entitlements for overseas employees are determined in
compliance with the laws and policies of their respective localities.
Hardship Assistance
The Good Mutual Assistance Association is a long-standing care initiative that embodies the Company’s
corporate culture of sharing joys and sorrows. Through a company-wide mutual aid model, it serves as a
vital safety net for employees and their immediate family members facing major illness or accidental risk.
In 2025, 29,459 employees voluntarily enrolled in the Association, collectively raising RMB 3.89 million in
mutual aid funds. During the reporting period, the Association disbursed a total of RMB 4.21 million in
assistance payments to 453 members and their families.
Employee Care
The Company has launched the Wonderland of New Hope Liuhe online platform, extending its reach
to both domestic and overseas employees and serving a community of over 20,000 staff members. The
platform is designed to cultivate a supportive workplace built on respect, anticipation, and happiness.
Surprise boxes are offered with a 100% winning rate twice monthly, delivering practical gifts and
interactive experiences that bring a sense of delight to daily working life. The platform also pioneered a
quarterly paid welfare leave entitlement of two hours per employee, structured around four dimensions of
care: grievance support, care for single employees, family bonding, and personal growth. Complemented
by the Mood Station, a dedicated channel for listening to employees’ voices, the platform provides holistic
support for employees’ physical and mental well-being. Through vibrant online communities connecting
tens of thousands of employees, the platform brings together colleagues across the globe, nurturing
cross-regional bonds and a shared sense of belonging. Established in office areas, the Employee Energy

“Mid-Autumn Family Reunion & National Day
Celebration” — A Festival of Unity and Patriotism
Tug-of-War Competition
Impact, Risk and
Opportunity Management
Indicators and Targets
Labor contract signing rate
100%
Social insurance coverage rate 100%
Parental leave return rate 100%
Total employee discrimination or harassment incidents
0
Employee suggestions adopted 107
Proportion of ethnic minority employees
7.44%
Proportion of employees with disabilities 0.61%
Proportion of female employees in junior, middle, and senior management (combined) 16.07%
—of which: Junior management
16.93%
—of which: Middle management
14.67%
—of which: Senior management
22.22%
3.53%
Indicator
2025
Enabling Employee Growth
International Women’s Day Activity
Annual Basketball Game held by New Hope Philippines Region
Stations provide refreshments and supplies for employees working overtime, ensuring that workplace care
permeates every aspect of work and life.
Diversified Activities
The Company thoughtfully integrates humanistic care into the celebration of traditional festivals, which
substantially enriches employees’ cultural and spiritual lives. A diverse range of cultural and sporting
activities (e.g., tug-of-war competitions, badminton tournaments) are regularly organized to foster a
positive and vibrant team atmosphere, strengthening collaboration and deepening emotional connections
among colleagues.
Diversity and Inclusion
Championing a diverse and inclusive corporate culture, New Hope Liuhe upholds the principles of
openness, fairness, and impartiality to build a collaborative, high-performing, and multidimensional
workforce. Throughout all stages of employee development, including recruitment, appointment,
training, and promotion, the Company does not discriminate on the basis of ethnicity, race, gender, age,
marital status, childbirth status, religious belief, or any other personal characteristic. It strives to place
the right people in the right roles at the right time, enabling every employee to realize their full potential.
The Company also proactively recruits people with disabilities and assigns suitable positions based on
their physical capabilities, which demonstrates its commitment to equal employment opportunities and
development prospects for all job seekers and employees.
The Company places particular importance on protecting the rights and interests of female employees
and empowering their professional development. It firmly eliminates all forms of gender discrimination,
strictly enforces the principle of equal pay for equal work, and actively cultivates a fair and inclusive
workplace environment. The Company fully complies with all national policies governing maternity leave
and breastfeeding leave, provides dedicated nursing rooms in office areas, and regularly organizes care
activities to mark International Women’s Day and enrich the female employees’ cultural lives. Equal
access to training resources and promotion pathways is ensured for all female employees, with active
encouragement and support for women to take on leadership and management roles, enabling talented
female employees to participate meaningfully in corporate management and to have their value and
contributions fully recognized.
Equal Communication
Democratic Management
The Company implements a comprehensive suite of measures to promote democratic management,
including the formulation and enforcement of the Implementation Rules for the Workers’ Congress. All
subsidiaries have established workers’ congresses and/or trade unions to safeguard employees’ legitimate
rights, including the right to information, suggestion, equal negotiation, and the election and recall of
representatives. All revisions and implementations of internal systems and policies undergo thorough
discussion by employee representatives to ensure broad and meaningful input is incorporated. Company
rules, regulations, and announcements are made available to all employees through workers’ congresses
and the OA platform, protecting employees’ rights to participation and oversight while deepening their
engagement in corporate management. The Company further refines mechanisms for transparent
corporate governance and timely employee feedback, maintaining the HRSEC hotline and Feishu service
desk on its employee service platform, alongside multiple communication channels including email, public
phone lines, and the Mood Station on the Wonderland of New Hope Liuhe platform. These channels
enable the efficient collection of and response to employee opinions, forming a closed-loop, long-term
feedback and communication mechanism that strengthens employees’ sense of ownership and belonging.
In the event of labor disputes, the Company is committed to sincere dialogue and equal negotiation in
seeking consensus and resolving conflicts amicably, with dedicated complaint and reporting channels in
place to effectively protect employees’ legitimate rights and interests.
Employee Satisfaction Survey
To drive continuous organizational development and improve both team effectiveness and the overall
employee experience, the Company conducts annual organizational climate surveys. These surveys are
designed to assess the prevailing organizational climate, capture employees’ authentic work experiences,
and provide scientifically grounded measurements of organizational health, team vitality, and employee
engagement. Results from 2025 indicate that overall employee satisfaction and engagement levels
remained high throughout the reporting period.
Workers’ congress sessions: 2
The Company regards the protection of employee rights and interests and the cultivation of harmonious
labor relations as core corporate responsibilities. Through continuous institutional refinement, proactive risk
prevention and control, and ongoing practice optimization, it systematically mitigates human rights risks,
advances the systematization and precision of employee rights management, and fosters a fair, healthy,
and respectful workplace environment. These efforts enable mutual growth between the Company and its
employees while reinforcing its standing as a responsible employer.
Institutional Framework Continuous Improvement: The Company regularly updates its internal systems to
clearly define behavioral red lines, including absolute prohibitions on child labor, forced labor, workplace
discrimination, and harassment, while refining provisions governing rights protection across working
hours, overtime approval, salary payment, and paid annual leave. This establishes a robust institutional
safeguard against potential risks. A regular risk identification mechanism is maintained to surface potential
risks in business operations (e.g., labor compliance, pay equity, occupational health) and the specific
challenges inherent in overseas employment contexts, including cross-cultural conflicts and compliance
with local regulatory requirements, which are addressed through dedicated training programs and cultural
integration initiatives.
Democratic Management and Rights Implementation: Leveraging the workers’ congress system, the
Company ensures that all revisions to systems and policies are subject to thorough discussion by employee
representatives, fully protecting their rights to information and meaningful participation. Compensation
and benefits are disbursed in strict accordance with institutional provisions, with overtime remuneration
accurately calculated and paid in full. All statutory and supplementary benefits are effectively delivered.
Diverse communication channels are maintained to ensure employee feedback on the work environment
and working conditions is heard and acted upon in a timely and responsive manner.
Workplace
Compliance
Diversity and
Inclusion
Proportion of females in management roles in revenue-generating departments (e.g., sales)
64
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Talent Attraction
and Retention
Governance
Strategy and
Management Approach
“New Youth, New Hope” campus recruitment presentation held at Jilin Agricultural University
EMBA Learning Activity
Feed Business Mid-level Training Program (Phase II)
Haina Program Study Visit in Vietnam
Haina Program Intensive Training in Chengdu
Enabling Employee Growth
New Hope Liuhe closely aligns employees’ personal career development with the Company’s overarching
business objectives, building a robust and dynamic growth platform to continuously stimulate
organizational vitality. The Company strives to cultivate core talent competitiveness in support of long-
term sustainable development, aiming to achieve mutual empowerment and shared success between its
employees and the organization.
The Company consistently refines its human resources management system to ensure deep integration
with and strategic alignment with its overall corporate direction. The Human Resources Department
oversees the planning and implementation of all employee training and development initiatives. A
holistic institutional framework has been established spanning career advancement, employee training,
performance management, and compensation incentives, encompassing key governing documents such
as the Post and Rank Management Measures, the Learning Platform Management System, the Internal
Trainer Management Measures, and the Performance Management Measures. During the reporting
period, the Company revised its Employee Promotion and Demotion Management System and the
Executive Points Management Measures, further optimizing its talent structure and strengthening core
organizational competitiveness.
Talent Attraction
To consistently strengthen its foundational talent management system, the Company has established
a standardized talent audit mechanism to ensure the effective execution of its talent development
strategies. Drawing on talent inventory results, the Company evaluates team capability alignment and
core role competence against the requirements of its current strategic phase, scientifically forecasts short-
and long-term talent gaps, and formulates targeted talent allocation plans to maintain a steady talent
pipeline.
The Company has built a diversified set of recruitment channels, encompassing campus recruitment,
social recruitment, internal competition, internal referrals, university-enterprise cooperation, and internship
programs, to address talent needs across all types and levels. Through this approach, it effectively broads
the talent pipeline and enhances the efficiency of person-job matching. Recruitment is conducted in strict
adherence to the principles of fairness and professionalism: all interviewers undergo rigorous screening,
dedicated training, and competency assessment prior to appointment, with regular comprehensive
evaluations conducted thereafter to uphold the integrity and quality of the interview process. The
Company also actively solicits candidate feedback on their interview experiences, using these insights to
continuously refine its recruitment services and strengthen its appeal to top-tier talent.
Campus Recruitment
Guided by the principles of major relevance and competence alignment, the Company recruits across hundreds of target universities nationwide. During the
reporting period, it organized 35 campus presentations and participated in over 100 job fairs, successfully hiring 935 fresh graduates.
Talent Reserve
The Company jointly established the Sichuan Provincial Key Laboratory of Animal Nutrition and Efficient Feed Utilization with the Animal Nutrition
Institute at Sichuan Agricultural University, and maintains active industry-academia-research collaboration with institutions including the Institute of Feed
Research of the Chinese Academy of Agricultural Sciences and the Ocean University of China. By further deepening its partnership with the College of
Veterinary Medicine at Southwest University, the Company becomes a designated joint training base for its veterinary professional degree postgraduates,
systematically reserving talent for core positions through structured university-enterprise collaboration.
Targeted Recruitment
The Company recruited 650 fresh graduates majoring in animal medicine, animal science, feed production, and related disciplines from technical and
vocational colleges. For frontline positions filled through social recruitment, priority is given to candidates with relevant industry experience to ensure
immediate operational effectiveness.
Employee Development
New Hope Liuhe takes a long-term, strategic approach to talent development, with a focus on providing
customized, targeted empowerment for every employee. The Company consistently refines its employee
training system and invests in building an efficient, interactive learning and exchange platform. By
integrating internal expertise with external industry resources, it develops training content that combines
sector-specific knowledge with distinct corporate attributes, establishing a systematic, hierarchical, and
professionally structured talent development framework. A tiered talent development mechanism is in
place, alongside a four-tier management reserve training system and a professional track development
pathway that spans the full career lifecycle—from new hires through to core senior executives. The
Company also collaborates with external professional institutions to facilitate mutual growth between
employees and the enterprise as a whole.
High-Quality Talent Reserve
To build a structured echelon of operational and management personnel, the Company enhances the
leadership capabilities and operational proficiency of both current and potential successors. Through a
suite of talent development programs, including the EMBA Program, Mid-level Training Program, Global
Mid-level Training Program, Haina Program, Hope Program, and New Talent Training Camp, the Company
cultivates and reserves outstanding talent across all management levels.
New
Employees
New Talent
Training Camp
A full-cycle training strategy was implemented, combining intensive learning, structured follow-up coaching, and on-the-job practical experience.
A total of 625 new employees received offline or online training, which helped them develop a comprehensive understanding of the business,
integrate into the corporate culture, establish sound workplace values, and shorten their path to full role competency.
New Talent
Power Camp
38 high-potential campus recruits were selected for an intensive two-year accelerated development program. Focused on deepening business
acumen, refining professional capabilities, and cultivating leadership potential, the program adopts a multi-modal approach that combines online
coursework, offline intensive training, dual-mentor guidance, and customized rotation assignments to facilitate rapid integration and compress
participants’ overall growth cycle.
Management
EMBA Program
Targeting high-performing, high-potential internal talents, the program is designed to enhance academic qualifications and professional
capabilities while integrating participants into the Company’s broader leadership development system. During the reporting period, 85 middle
and senior managers completed the program, achieving a participant satisfaction rate exceeding 92%.
Mid-level Training
Program
The program strengthens the general manager reserve echelon while continuously identifying, cultivating, and supplying core operational talent to meet
business needs. During the reporting period, 43 high-potential individuals were selected, of whom 41 successfully completed the program.
Haina Program
Designed to establish a career development and cross-regional exchange platform for both domestic and overseas talent, the program received 133
applications during the reporting period, with 10 participants selected to attend intensive training in Chengdu and undertake study visits in Vietnam.
Professional Capability Enhancement
The Company continues to advance the development of capability frameworks across key professional
tracks. For roles spanning product technology, quality control, procurement, aquatic marketing, and
veterinary medicine, it designs and delivers targeted training programs, drawing on expert knowledge to
develop bespoke professional curricula and build enduring competitive advantage.
66
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Impact, Risk and
Opportunity Management
Enabling Employee Growth
Quality Control
Elite Program
Designed to cultivate reserve quality control managers for the feed business, this program strengthens participants’ technical expertise in quality control
while deepening their understanding of professional standards and team management. A total of 41 employees participated during the reporting period,
achieving a pass rate of 90%.
Aquatic Elite
Training Program
Built around a “general manager + sales + technology” integrated training model, this program facilitates domestic and international exchanges within the
aquatic industry and promotes the sharing of best practices, driving the ongoing professionalization of aquatic feed. A total of 34 employees attended the
program during the reporting period.
Online Training Optimization
The Company has established a robust digital learning platform underpinned by well-developed
management systems. The platform offers over 2,000 online courses spanning general competency areas
(e.g., leadership, management literacy, professional conduct) and business-specific technical courses, with
access also available to overseas employees. In 2025, employees collectively completed 47,307.93 hours of
online learning, averaging 21.5 hours per employee.
Internal Trainer Development
The Company places sustained emphasis on building a capable and dedicated internal trainer team.
During the reporting period, it continued its structured process for identifying and developing internal
trainers, who deliver courses closely aligned with the Company’s strategic priorities, business needs, and
workplace realities. Trainer performance is incorporated into the Company’s broader employee promotion,
assessment, and recognition framework.
Talent Support
The Company implements mentorship programs and skills certification initiatives to help new employees
integrate quickly and align effectively with their roles. For high-performing employees with high potential,
EMBA programs are offered to support academic advancement and capability development. During
the reporting period, leveraging the Group’s platform, the Company organized the application, defense,
and evaluation processes for senior professional and technical titles in animal husbandry and veterinary
medicine, resulting in 7 employees obtaining associate senior professional titles.
Promotion and Incentives
New Hope Liuhe is committed to providing all employees with fair, transparent promotion opportunities
and unobstructed career development pathways. Guided by market-oriented principles, the Company
operates a differentiated compensation system with a dynamic adjustment mechanism, accounting for
employees’ role attributes, performance contributions, and overall capabilities. By continuously refining
its compensation structure, the Company maintains industry-competitive remuneration levels that attract,
retain, and motivate top talent.
Unobstructed Career Development Pathways
In 2025, the Company refined its Employee Promotion and Demotion Management System, establishing a
career development platform defined by fairness, transparency, and predictability. This system effectively
enables merit-based advancement and adjustment, ensuring optimal alignment between individuals
and their roles. Reflecting the talent structure of its industry and business segments, the Company has
established three distinct career tracks, i.e., M (Management), P (Professional), and O (Operational),
encompassing 18 sequences and 71 sub-sequences across a diverse range of job types. This architecture
empowers employees to chart a career path that best suits their strengths and aspirations.
Management
Track
Shareholding Team /
BG/BU President
Squad President
Regional General Manager
Regional / Area General Manager
Branch and Subsidiary General
Manager / Large Farm Manager
Senior Manager / Manager /
Deputy Manager
Staff Member / Assistant / Associate Specialist
Professional
Track
Chief Expert / Chief Engineer
Senior Expert / Engineer
Advanced Expert / Engineer
Expert / Engineer
Intermediate Expert / Engineer
Junior Expert / Engineer
Operational
Track
Farm Manager
Line Manager / Workshop
Director / Elite Operator
Supervisor / Senior Technician
Advanced Technician
Intermediate Technician
Junior Technician
Refined Compensation and Incentive Mechanism
The Company designs tailored compensation packages suited to different roles and functions. All
employees’ remuneration includes a variable pay component, encompassing performance pay, bonuses,
and various allowances, linked to quarterly performance reviews in accordance with the principle of
merit-based reward. The Company consistently optimizes its differentiated incentive approach, utilizing
equity incentive plans as an important supplement to the compensation of outstanding employees. This
mechanism aligns the interests of employees with those of shareholders, strengthening employees’ sense
of belonging and fostering greater team cohesion.
Living Wage
Benchmarked against the local average social wage and calibrated for local economic conditions, consumer
price indices, and housing costs, the Company ensures that its living wage meets or exceeds the applicable local
minimum standard. For employees with full attendance, wages are paid in full and on time, with actual average
salaries substantially exceeding the living wage.
Differentiated Compensation
Structure and Incentives
Performance sharing system for operational management and functional employees
Piece-rate wage system for frontline production employees
Sales-based remuneration system for marketing personnel
Position grade and performance-based wage system for hourly-rated employees
Equity-Based
Medium and
Long-Term
Incentives
Employee Equity
Incentives
In 2024, the Company launched its 2024 Employee Stock Ownership Plan targeting core management and key
personnel, with vesting scheduled for June 2026. This initiative ties the interests of core talent directly to the
Company’s long-term growth trajectory.
Bonus Pool Mechanism
Performance assessment focuses on three core metrics: key financial results, operational excellence, and red-line
compliance. In years materially affected by market volatility, a bonus pool is established for headquarters senior
management and sector BUs assessed on profit accrual, enabling more balanced incentive distribution across
years.
Total employee
compensation:
RMB 6.01 billion
Performance Management and Grievance Resolution
The Company’s performance evaluation framework centers on work outcomes, supplemented by
assessments of work attitude and adherence to daily codes of conduct. In 2025, the Company introduced
monthly assessments tied to fully budgeted operating goals, which translates annual performance
targets into monthly milestones to enable dynamic tracking and ongoing process evaluation. For core
management, structured 360-degree evaluations and feedback sessions are conducted, with a one-
vote veto policy applied to red-line violations involving food safety, production safety, and environmental
protection. Integrating performance communication throughout the evaluation process, the Company also
continues to refine its grievance channels and resolution mechanisms.
New Hope Liuhe places high priority on human resources risk management, recognizing talent attraction
and retention as the core pillars of its sustainable development. By integrating employee career
development into its overarching strategic framework, the Company systematically identifies key risks that
may affect the stability and growth of its talent pool, including shortfalls in critical position pipelines, core
talent attrition, underdeveloped career progression systems, and non-competitive compensation and
incentive structures.
To mitigate these risks, the Company formulates forward-looking talent development plans aligned with
its strategic objectives, establishes robust early warning and response mechanisms for talent-related risks,
and continuously strengthens organizational appeal and employee belonging, which facilitates employees’
long-term career advancement.
In addition, the Company deepens the professional capabilities and risk awareness of its human resources
team, standardizes end-to-end processes spanning labor relations, payroll disbursement, and talent
management, and effectively reduces exposure to labor compliance and talent development risks.
Together, these efforts sustain a stable, high-caliber talent foundation that underpins the Company’s
pursuit of high-quality development.
68
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Indicators and Targets
Occupational
Health and Safety
Total employee training investment (million RMB) 5.78
Total employee training attendances 31,077
Total employee training hours 1,163,829.8
Employee training coverage rate(%) 71
Average training hours per employee 26.6
Employee
Composition
Total number of employees 43,753
Number of employees by gender
Male employees
34,090
Female employees
9,663
Number of employees by age
Employees aged 30 and under 13,129
Employees aged 31-50
24,682
Employees aged 51 and above 5,942
Number of Chinese employees by
hierarchical level
Number of employees
by educational level
Employees with high school diploma or under 15,678
Employees with associate degree
12,122
Employees with bachelor’s degree
13,615
Employees with master’s degree/ MBA or above 2,338
Number of employees by region
Employees from China (including Hong Kong, Macao, and Taiwan)
35,106
Overseas employees
8,647
Indicator
2025
Senior management
9
Middle management
1,459
Junior management
2,316
Frontline employees
39,969
Employee
Recruitment
Employees recruited during the reporting period
7,954
Fresh graduates newly recruited
935
Employee growth rate(%)
5.87
Employee
Turnover
Employee
Training
Total turnover rate(%) 23.94
Voluntary resignation rate(%)
20.94
Turnover rate by gender(%)
Male employees
24.88
Female employees
20.71
Work Safety Management
Occupational
Health Protection
Revise and implement work safety management systems at all levels
Target achieved
Conduct special investigation and rectification of special equipment Target achieved
Standardize management of hazardous operations
Target achieved
Strengthen safety management for gas storage and use
Target achieved
Supervise and guide the implementation of work safety performance indicators
Target achieved
Implement the list-based system for work safety management
Target achieved
Expand training and certification for safety management personnel
Target achieved
Enhance training and competency development for special operation personnel
Target achieved
Promote the application of the work safety informatization platform
Target achieved
Implement process risk monitoring and early warning mechanisms
Target achieved
Organize safety culture activities
Target achieved
Conduct safety supervision and inspections
Target achieved
Refine and improve standard operating procedures
Target achieved
Enhance feed safety management in Pig BG
Target achieved
100 %
Enabling Employee Growth
New Hope Liuhe strictly adheres to applicable laws and regulations, including the Work Safety Law of the
People’s Republic of China and the Law of the People’s Republic of China on the Prevention and Control of
Occupational Diseases. The Company consistently refines its occupational health and safety management
system, raises work safety standards, and effectively safeguards the lives of its employees, corporate assets,
and the stable operation of production facilities. During the reporting period, one subsidiary obtained
occupational health management system certification, and 49 branches and subsidiaries achieved Level 3
Work Safety Standardization certification, covering all business operations, contractors, and suppliers.
The Company has established a well-defined, top-down work safety management structure. At the
headquarters level, the Safety and Environmental Protection Center under the Engineering Operations
Department provides overarching work safety leadership. Across all sector headquarters, regions, branches,
and subsidiaries, dedicated full-time and part-time safety managers are in place, while the Board of
Directors and senior management participate in work safety decision-making through regular governance
meetings. The Company has formulated and continuously refined systems including the Work Safety
Accountability Management Measures and the Confined Space Safety Management Measures. During the
reporting period, it revised the Work Safety Management System to incorporate provisions on gas safety,
electrical safety, and equipment protection, which further consolidates its management foundation. Work
safety is embedded in company-wide performance assessments and internal audits, with safety outcomes
directly linked to senior management compensation. Annual rigorous reviews of system implementation
are conducted to reinforce the primary responsibility of frontline production and operational units.
During the reporting period, the Company advanced work safety informatization by digitizing
management data and piloting online approval workflows for hazardous operations. It also launched a
pilot assessment of performance indicators for key responsible persons and safety officers, with the aim of
strengthening grassroots risk control capabilities.
Occupational Health and Safety Management Targets
2025 Achievement Status
Total work safety investment: RMB 109.51 million
Total safety accidents: 6
Work-related fatalities: 6
Work-related fatality rate: 0.01%
Total work-related injury rate: 0.40%
Number of work-related injuries: 191
Lost workdays due to work-related injuries: 2,345
Lost time injury frequency rate (LTIFR): 260.31
Work-related injury insurance investment: RMB 24.96 million
Work safety liability insurance investment: RMB 2.60 million
Work safety liability insurance coverage: 36.52%
Work-related injury insurance
coverage:
New Hope Liuhe is committed to safeguarding employees’ occupational health rights and interests. In
compliance with applicable regulations, including the Management Rules for Labor Protection Supplies
of Employers, the Company standardizes the provision of personal protective equipment for frontline
employees, governs work process management, and delivers relevant training. Given the distinctive
characteristics of its production operations, the Company arranges regular occupational health
examinations for employees exposed to toxic or harmful substances or engaged in high-intensity work,
performs risk hazard inspections at key positions, and promptly eliminates potential occupational health
risks. The Company has also established emergency response mechanisms, delivers ongoing occupational
70
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Employee occupational disease
incidence rate:
0 %
100 %
Emergency Management
Contractor Management
Safety Culture and Training
Fire drills and training conducted by the Overseas Sector
Health and safety training hours:
419,105
Health and safety training
attendances: 645,048
Enabling Employee Growth
Confined space operation and rescue drills conducted by the Pig and Feed sectors
health publicity and training sessions, and has formulated the Employee Injury Incident Handling
Procedures to enhance frontline employees’ self-rescue and mutual rescue capabilities.
The Fresh Meat Division has developed the Occupational Hazard Emergency Rescue Plan, equipped
relevant emergency rescue facilities, and conducts regular emergency drills. It periodically engages
qualified third-party institutions to conduct occupational disease hazard assessments and issue formal
evaluation reports. Hazardous factors generated during production (e.g., noise, dust, toxic gases) are
regularly tested across production environments and labor processes to ensure all indicators remain
within prescribed limits. Overseas subsidiaries have also strengthened their occupational health-
related systems, ensuring compliance with local laws and regulations to protect employee health. These
subsidiaries conduct labor environment monitoring, organize regular employee physical examinations,
and hold first-aid training and other relevant activities.
Pre-employment and annual physical
examination coverage:
Dual Prevention
Mechanism
In accordance with the Safety Risk Classification Guidance, the Company has established a dual
prevention mechanism that embeds hazard identification and assessment, risk classification and control,
and hidden danger investigation directly into day-to-day operations. Senior management conducts
regular on-site safety inspections, while all branches and subsidiaries perform comprehensive risk
identification, assessment, and control tailored to their specific operational profiles, with hidden danger
management carried out on an ongoing basis. The Company also encourages affiliated units to establish
internal safety reporting systems, which broadens employee participation in safety oversight.
During the reporting period, the Company launched a targeted investigation and rectification campaign
focused on special equipment, including boilers, pressure vessels, pressure pipelines, elevators, and
forklifts. Risk assessments were conducted and remediation measures benchmarked across equipment
categories, with rectification prioritized and rolled out in phases. Where immediate rectification was not
feasible, interim control measures were put in place to contain associated risks.
Safety Risk Classification and Control
Safety Risk Identification
Drawing on the operational type and characteristics of each unit, the Company develops science-based risk identification procedures and methodologies,
conducts comprehensive risk identification exercises, and maintains a regularly updated safety risk database. The scope of identification encompasses all
critical production stages and process links.
Safety Risk Assessment
Identified risks are systematically evaluated and classified, with due consideration given to root causes, potential hazards, and modes of harm, forming the
basis for accurate risk categorization.
Safety Risk Control
Control measures are formulated in response to specific risk profiles, spanning engineering controls, management systems, education and training, personal
protective equipment, and emergency preparedness. The Company maintains a risk notification system and continuously reinforces safety education and
skills training across its workforce.
Work Safety Hidden Danger Investigation
Investigation
Accountability System
The Company operates a structured hidden danger investigation accountability system that spans all levels of the organization, from senior responsible
persons to frontline staff. Adequate funding and technical resources are allocated to support investigation activities, with safety managers, engineers, and
other relevant personnel regularly mobilized to conduct systematic inspections.
Investigation Methods
The Company employs a comprehensive suite of inspection methods, including routine daily checks, periodic comprehensive reviews, specialist inspections,
seasonal assessments, peak-period and pre-holiday checks, accident-analogy reviews, pre-resumption inspections, and diagnostic assessments by external
experts.
Information Disclosure
All identified hidden dangers are recorded in a dedicated safety hazard information register and communicated to employees through notice boards or
other appropriate channels, ensuring workforce awareness and transparency.
Time-Bound Rectification
Upon identification, hidden dangers are promptly assigned to the relevant departments for rectification within defined timeframes, with clear
accountability, remediation measures, and deadlines established. Root cause analysis is conducted to ensure thorough and lasting resolution. Where
immediate rectification is not practicable, interim preventive controls are implemented to safeguard against accidents.
Reporting and
Reward Mechanism
The Company maintains a well-developed hidden danger reporting and reward mechanism, combining material incentives with recognition to encourage
employees to proactively flag safety concerns and contribute constructive remediation suggestions, fostering a culture of shared responsibility and safety
ownership.
Hidden dangers
identified: 43,761
Hidden dangers
rectified: 42,964
Work safety management
suggestions proposed: 2,984
New Hope Liuhe operates in strict compliance with the Emergency Response Law of the People’s Republic
of China and the Measures for the Administration of Contingency Plans for Work Safety Incidents, among
other applicable regulations. The Company has established an Emergency Management Plan and a clear
accountability framework for work safety incidents, alongside either a work safety incident emergency
team or an emergency rescue command center. A comprehensive emergency response system has been
developed, covering a wide range of potential accident scenarios. To support operational readiness,
the Company has formed both full-time and part-time emergency rescue teams, equipped them with
necessary protective gear and supplies, and entered into mutual assistance agreements with neighboring
enterprises to strengthen collective emergency response capacity. Regular emergency drills and practical
training are conducted to sharpen employees’ self-rescue and mutual rescue capabilities and enhance
the overall readiness of rescue teams. The comprehensive emergency plan and all specialized plans are
required to be rehearsed at least once per year, while on-site disposal plans are drilled no fewer than
twice annually, driving continuous improvement in the Company’s emergency response capabilities.
Emergency drills conducted:
1,823
The Company’s Work Safety Management System provides a unified framework for coordinating and
managing work safety across all contracted and leased operations. Prior to commencing any production
or operational activity, contractors are subject to rigorous qualification and performance verification.
Dedicated work safety management agreements are signed to clearly define the safety responsibilities
and obligations of both parties, and safety technical briefings are provided to all contractor personnel
before work begins. Throughout the course of operations, the Company carries out regular on-site
inspections and supervision to monitor contractors’ compliance with safe working practices. Contractors
who violate safety regulations and fail to rectify non-conformities are subject to immediate suspension of
operations. In cases where a contractor’s negligence results in a Level 1 or Level 2 work safety accident,
the contractor’s information will be disclosed internally as a deterrent and accountability measure.
Contractor work-related
fatalities: 0
The Company places strong emphasis on building a safety-conscious workforce through structured
training in work safety legislation, safety knowledge, and operational skills, with the goal of elevating
employees’ safety awareness, sense of responsibility, and professional competence. During the reporting
period, particular focus was placed on upskilling special operation personnel, with dedicated training
courses developed across 10 specialist areas, including electrical work and welding and thermal cutting
operations. Thematic safety training was also delivered on high-priority topics including dust explosion
prevention, confined space operations, fire safety, mechanical injury prevention, and electrical hazard
protection. In 2025, the Company organized 10,323 training sessions, recording 645,048 attendances and
achieving full coverage across the entire workforce.
72
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Breeding Service
Management
Financial Support
for Agriculture
Caring
for Society
Advancing Rural
Revitalization
Talent Revitalization
Empowering Farmers Caring for Society
Liu Chang, Chairman of New Hope Liuhe, sharing insights on new-generation farmers with participants of the 5th
Rural Revitalization Village Leaders Program
Empowering
Farmers
Guided by its founding mission of “profiting farmers and benefiting food consumers,” New Hope Liuhe
draws on its integrated management system and extensive industrial chain resources to develop a
mutually beneficial cooperative farming model with smallholder farmers. By pioneering inclusive financial
service channels, the Company helps address farmers’ financing challenges and supports the broader
standardization and modernization of China’s agriculture and animal husbandry industries.
The Pig Sector’s Breeding Division operates under the “Six Unifications, Three Non-Burdens” model, a full-
chain service framework designed to improve farmers’ production efficiency through end-to-end standardized
management. Under the Six Unifications, the Company takes responsibility for pig farm design, feed procurement,
immunization protocols, feeding practices, technical services, and pig offtake, ensuring consistent quality and
operational standards across all participating farms. The Three Non-Burdens principle means that farmers are
shielded from market risk through a guaranteed floor price, and from capital risk through upfront investment
covered by the Company or government funding — leaving farmers free to focus on what they do best. In 2025,
the Company partnered with 2,900 farming households across 21 provinces, building a collaborative community
grounded in shared interests and complementary strengths. This model integrates smallholder farmers into the
modern agricultural system, unlocks the productive potential of rural communities, and fosters a self-reinforcing
cycle of growth. The breeding service team drives continuous improvement through goal-driven management,
proactive operational refinement, and targeted intervention on identified weaknesses. By delivering professional
technical support and hands-on training, the team lowers the barrier to entry for advanced farming techniques,
reduces production risks, improves farming profitability, and meaningfully increases household income.
The deep alignment of interests between the Company and its farming partners not only generates diverse
employment opportunities and stabilizes rural incomes, but also strengthens the long-term self-sufficiency of
farmers and village collectives alike.
Total fostering fees settled during the year:
Average profit per household:
over RMB 2.03
billion
over 960,000
New Hope Liuhe integrates resources from banking, insurance, and other financial institutions to develop an innovative
guarantee-centered supply chain finance model, leveraging its comprehensive coverage of the agricultural and animal
husbandry value chain. Through dedicated professional teams operating across 29 provinces and municipalities, the
Company provides financing guarantee services for upstream and downstream customers along the industrial chain,
directly addressing the financing difficulties and high costs that have long constrained agricultural businesses. By the end
of 2025, the Company had served a cumulative total of 222,600 customer engagements, with total financing disbursed
reaching RMB 82.9 billion, giving tangible effect to its commitment to supporting and benefiting agriculture.
Inclusive Guarantee
Deeply committed to inclusive finance, the Company actively expands its network of quality banking partnerships
and unlocks the potential of bank-enterprise collaboration. It has established strong working relationships with
state-owned banks, joint-stock banks, city commercial banks, and foreign-funded banks. Underpinned by robust
risk management capabilities, the Company has become a trusted strategic partner for major financial institutions in
delivering agricultural financial services through its inclusive guarantee business. By the end of 2025, the Company
had partnered with 18 banks, with cumulative credit facilities totaling RMB 10.7 billion.
Industrial-Financial Platform
The Company has developed a next-generation supply chain finance service platform. Built on a four-layer
architecture spanning data, products, risk controls, and application scenarios, the platform establishes an inclusive
agricultural finance model that broadens service reach and enhances service quality. After the inclusive guarantee
business gained access to the People’s Bank of China’s Second-Generation Credit Reference System in November
2024 and successfully processed its first customer credit inquiry, the platform’s online contract signing function was
formally launched in 2025. This advancement has significantly improved the convenience of customer onboarding,
accelerated business processing efficiency, and strengthened the standardization of contract management.
Customer-Centric Focus: Meeting Industrial
Chain Financing Needs
The Company proactively expands funding channels and product offerings to provide tailored financing services for farmers across
the industrial chain.
One-Stop Service: Enhancing the Financing
Experience
Direct bank-enterprise connectivity is enabled through API and SDK integration.
This approach allows financing customers to complete loan applications entirely online via mobile devices, with real-time visibility and
management across the full loan lifecycle.
Win-Win Cooperation: Building New Hope
Liuhe’s Financial Ecosystem
A three-party transaction structure (linking funders, customers, and core enterprises) integrates capital, demand, industry, and
financial services.
Industrial chain customers can apply for loans calibrated to their specific transaction scenarios and operational scale.
Banks are empowered to accurately disburse inclusive loans with the support of the Company’s industrial finance platform.
New Hope Liuhe honors its social responsibilities by turning its values into meaningful action. Through sustained,
branded public welfare programs, the Company creates tangible value for communities, spreads goodwill at
home and abroad, and nurtures a culture of virtue and mutual support, embodying its corporate character
through responsible practice.
Commitment to rural communities and people’s livelihoods has always been central to the Company’s identity.
Anchored in the realities of rural development and the practical needs of farming households, New Hope Liuhe
continuously increases rural investment, innovates its agricultural support models, and has evolved from project-
based assistance to systemic empowerment across industrial and talent development chains. These efforts
have made meaningful contributions to promoting integrated urban-rural development and strengthening the
connection between poverty alleviation outcomes and long-term rural revitalization.
The Company has built a multi-tiered rural talent development system that empowers a wide range of rural
stakeholders from new-generation farmers to grassroots community leaders, with the aim of creating a sustainable,
replicable talent cultivation model for rural revitalization. Since 2019, the Company has consistently advanced the
100,000 Green Collar New Farmer Training Program. Leveraging its premix business platform, the Company delivers
farming lectures and interactive live Q&A sessions through e-commerce channels, which strengthens farmers’
capabilities in operational management, disease prevention, and other critical areas to facilitate rural talent revitalization.
The Company also pioneered the Rural Revitalization Village Leaders Program, a flagship initiative designed to cultivate
capable leaders of rural collective economies. In 2025, the 5th cohort of the Village Leaders Program advanced its Seed
Plan, bringing national media and industry experts to more than ten villages for on-site research and capacity-building
visits. Through these efforts, the program has systematically shifted from short-term intensive training to long-term,
ecosystem-based empowerment. By the end of 2025, the initiative had received applications from over 4,000 village
cadres nationwide, trained more than 500 participants, and extended its reach to over 3,000 villages, infusing vital
talent capacity into rural governance.
Honors
&Accolades
The Rural Revitalization
Village Leaders Program
was selected into the
inaugural batch of
exemplary cases in
the national “10,000
Enterprises Vitalizing
10,000 Villages” initiative.
74
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Promoting
Development at
Operational Locations
The New Hope Cup Egypt Veterinary Competition, a professional event spanning
multiple provinces across central and upper Egypt
New Hope, alongside 10 Chinese-funded feed supporting enterprises, participated
in Egypt’s largest agricultural exhibition
Industrial Revitalization
Recipient of the Star Unit for Serving Rural
Revitalization title at the 2025 Annual
Meeting of the Sichuan Association of
Feed Industry
8,648
19.77%
111
2.93%
2025
Number of Employees
Percentage of Total Employees
Number of Manager Percentage of Total Managers
35,105
80.23%
3,673
97.07%
New Hope Vietnam recruiting fresh graduates from universities in Hanoi
China-Egypt New Hope Breeding Technology Training
Caring for Society
Drawing on its industrial strengths, New Hope Liuhe has consistently sought to strengthen the foundations
of rural development and unlock the endogenous growth potential of rural economies. Since establishing
China’s first Guangcai Program poverty alleviation factory in Xichang City, Liangshan Prefecture in 1994,
the Company has invested over RMB 5 billion to build more than 150 such facilities, supporting over
60,000 jobs. During the poverty alleviation phase, it further launched more than 80 targeted cooperation
projects nationwide, sustaining both immediate relief and long-term capacity building for underdeveloped
regions. In 2017, the Company constructed a poverty alleviation pig farm in Tekoujiagu Village, Zhaojue
County, Liangshan Prefecture, Sichuan Province, and developed the “4+N” Zhaojue Model, a framework
that unites low-income households with the Company’s breeding bases into a mutual assistance
community, generating steady income for village collective economies. The model has been commended
and promoted nationwide by the Ministry of Agriculture and Rural Affairs as a benchmark for poverty
alleviation led by agricultural industrialization enterprises.
In December 2025, in response to the national rural revitalization strategy, the Company entered into a partnership
with Central SOEs Industrial Investment Fund for Rural Area Co., Ltd. and Poor Areas Industry Development Fund
Co., Ltd. Under the new framework of “government guidance, financial empowerment, enterprise operation, and
farmer engagement,” the Company will actively develop family-suitable industrial projects across 20 designated
assistance counties nationwide, supporting new-generation farmers in securing employment, starting businesses,
and achieving sustained income growth.
In alignment with China’s Belt and Road Initiative, New Hope Liuhe pursues a core overseas strategy built on
deep localization and sustainable development. Driven by technological innovation and grounded in corporate
responsibility, the Company has steadily expanded its international footprint to create tangible value and
improve the well-being of local communities, a meaningful expression of its responsibilities as a multinational
enterprise.
Community Engagement
The Company operates in strict compliance with international standards and the laws of host countries, embedding
localization principles throughout the full lifecycle of its overseas projects to foster harmonious, integrated
relationships between the enterprise and its host communities. Community impact assessments are conducted at the
project initiation stage, and collaborative engagement with local communities is deepened throughout construction
and ongoing operations. These efforts have contributed to improving residents’ living standards and social well-
being, building community identification with and a sense of ownership over projects, and creating a foundation for
enterprise-community co-development.
Industrial Contribution
In the Indonesia Region, the Company operates 13 branches and subsidiaries, which collaborate with local growers
and feed and poultry breeding companies to support over 100,000 jobs. In the Bangladesh Region, five factories
have been built and commissioned, with operations extending across Bangladesh, Sri Lanka, and Nepal, generating
over 20,000 jobs through industrial spillover effects. In the Egypt Region, six companies established across Egypt and
Nigeria directly employ over 2,000 people, and the Company holds the leading market share in Egypt’s feed industry.
The Company’s employee localization rate reaches 90% in certain overseas markets, with local procurement rates
rising steadily. It introduces advanced Chinese technologies and management practices to drive feed industry
upgrades in host countries, partners with local universities to develop outstanding veterinary talent, and delivers
sustained public breeding technology training in rural communities. Through technological leadership, industrial
leverage, and talent development, the Company actively supports rural poverty reduction and agricultural
modernization across Southeast Asia and Africa.
Talent Development
Committed to developing local talent across its overseas markets, New Hope Liuhe offers targeted professional
training to build practical skills while prioritizing the development of cross-cultural communication capabilities. The
Company refines its employee incentive structures and humanistic welfare programs to align local employees’
professional development with the Company’s long-term growth. In 2025, the Company issued the Overseas Local
Talent Development Guidelines and launched the Global Mid-level Training Program, a structured initiative for high-
potential overseas local employees. Cohorts of local managers are brought to China for one month of intensive
training and on-the-job attachments, facilitating two-way talent mobility and fostering complementary strengths
between domestic and international teams.
Employee
Nationality
Chinese
Foreign
Vietnam North
Region
The Company is focused on building a pipeline of local management talent. Chinese managers are required to achieve proficiency in the local language
and pass relevant examinations. Through structured mentorship and knowledge transfer, outstanding local employees are identified and developed for
advancement, fostering genuine integration between Chinese and local teams.
Philippines Region
A localized talent development program has been established, offering Filipino employees a structured career pathway through pre-employment training,
skills enhancement courses, and management development workshops.
Indonesia Region
The Company provides systematic technical training spanning key areas including feed application, breeding management, and disease control. Dedicated
technical teams conduct one-on-one field guidance to help farmers optimize their breeding practices.
Bangladesh Region
In collaboration with the Asian Development Bank (ADB), the Company launched a public welfare training initiative for female farmers. Across two program
phases completed between 2023 and 2025, a total of 9,000 women have been trained, equipping them with the knowledge and skills to participate in
farming activities and improve their household incomes.
Egypt Region
With a local employee rate of 90%, the Company places strong emphasis on developing local agricultural talent. Long-term partnerships have been
established with five universities, including Cairo University and the University of Sadat City. In collaboration with the Chinese Embassy in Egypt and the
Egyptian National Alliance for Civil Development Actions, the Company launched a broiler breeding technology training program for 100 rural women in
Monofiya Governorate, delivering systematic poultry farming instruction and hands-on guidance from a professional veterinary team.
76
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Engaging in Public
Welfare and Charity
Brand Public Welfare
Reading room established for Poqi Primary School in Nayong County, Guizhou
The 10th Hope and Wish Plan
The 12th Warm Winter Campaign
Caring for Society
Donation of down jackets to Sanchahe Town Kindergarten in Zhaojue County,
Sichuan
On November 18, 2025, the Rural Revitalization Program Forum, which drew broad attention from stakeholders in both China and Egypt, was held in Cairo, Egypt.
Case
Xinhua News Feature | 45 Days: Chinese Experience Takes Root in Egyptian Villages
“I can hardly believe I earned so much in just 45 days,” said Egyptian farmer Mahassen Mohamed Said, clutching a dark blue certificate of honor with
gold embossed lettering, her eyes radiating a newfound confidence. Reporters recently met this “top breeder” at the Rural Revitalization Program Forum
hosted by New Hope Liuhe in Cairo. Her transformation traces back to the China-Egypt New Hope Breeding Technology Training Program launched in
August of this year, a joint initiative implemented by the Egyptian National Alliance for Civil Development Actions and New Hope Liuhe, with support
from the Chinese Embassy in Egypt and relevant Egyptian authorities.
Said’s hometown, Subk Al-Ahad in Monofiya Governorate, was among the first villages selected for the program. When reporters visited in August, the
scene was one of quiet hardship — adobe houses, weathered wooden doors, and barefoot children playing in dusty winds. Most able-bodied men had
left to do odd jobs in nearby cities, often earning below Egypt’s minimum wage even on good days, while women stayed behind to care for the elderly
and children.
A mother of three, Said found that the income she earned from raising chicks over just 45 days covered nearly two months of living expenses for her
family of five. “Veterinarians checked in with me every week, guiding me step by step from the very beginning,” she recalled of that first batch of chicks
in August. Within 45 days, she had mastered the fundamentals of poultry farming and raised her initial 50 chicks to market readiness. She had started
out with no idea how to gauge a chicken’s weight or adjust feed ratios. Today, she assesses flock health with confidence, articulates feeding essentials
clearly, and even mentors her neighbors. All 100 farmers in Monofiya Governorate’s first training cohort reaped tangible results.
“This is more than a training program; it is the establishment of a complete industrial chain,” said Tarik Hassan Mohamed of the Egyptian Orman
Charity Foundation (MEK), one of New Hope Liuhe’s local partners. The program spans the full value chain: from chick, feed, and medicine supply, to
veterinary and technical support, through to product marketing and sales. What struck Mohamed most deeply was the transformation of the women
participants. “They went from knowing nothing to being able to teach others,” he observed. Wael Jadd Karim, Director of the Central Department of
Egypt’s Decent Life Initiative, noted that the program has created sustainable livelihoods for rural residents, particularly women, and aligns strongly with
Egypt’s flagship national development strategy. “China’s achievements in eradicating absolute poverty are highly inspiring and deeply worthy of study,”
he said. Egypt has already sent delegations to China to learn from its experience in poverty alleviation and rural transformation. With next year marking
the 70th anniversary of China-Egypt diplomatic relations, Karim shared an ambitious vision: expanding the cooperation to 70 villages, bringing China’s
rural revitalization experience to Egypt at scale. Another top breeder, Israa Ali Said, spoke with quiet determination about what comes next: “I will keep
going, and one day I will build a much larger poultry farm.” From 50 chicks to a vision of 70 villages, from one woman’s self-reliance to the revitalization
of entire rural communities — Chinese experience is steadily taking root in Egypt.
By Xinhua News Agency Reporters Dong Xiuzhu and Yao Bing
New Hope Liuhe has long been guided by the philosophy of being “rooted in society and dedicated to giving back.”
Public welfare and charitable engagement are embedded in the Company’s corporate DNA, transforming what
began as occasional volunteer efforts into sustained, branded initiatives that consistently deliver warmth and care
to communities in need. When natural disasters strike, the Company opens its facilities as rescue command centers
and emergency shelters, donates essential supplies, and mobilizes volunteer teams to assist affected communities,
demonstrating its commitment as a responsible corporate citizen through concrete action. In 2025, the Company’s
public welfare donations totaled RMB 5.77 million.
Deepening its commitment to rural and community support, the Company sustained two flagship public welfare
programs during the reporting period: the Hope and Wish Plan and the Warm Winter Campaign. Through donations
to disadvantaged college entrance examination candidates, scholarships at overseas universities, and the construction
of Chinese-language schools, it helped young people realize their dreams of higher education — planting seeds of
hope in rural communities at home and abroad.
Hope and Wish Plan
Now in its 10th year, the Hope and Wish Plan has seen the Company’s volunteers reach 12 provinces across China,
including Sichuan, Xizang, Gansu, Guangxi, Guizhou, Shandong, and Inner Mongolia, delivering daily necessities and
study materials to over 23,000 children in total and brightening their childhoods. In May 2025, volunteers from the 10th
cohort visited six remote schools across Sichuan, Guizhou, Liaoning, Shandong, and other regions, tailoring support to
the individual wishes of 557 children. Among the highlights, volunteers from the Feed Sector established a dedicated
reading room for 196 Yi and Miao children at Poqi Primary School in Nayong County, Guizhou, creating a learning
space that broadens young horizons and fosters a love of reading.
Warm Winter Campaign
Launched in 2014, the Warm Winter Campaign has now completed its 12th edition. Volunteers have traveled to areas
including Ebian County (Leshan), Meigu County (Liangshan), and Jiulong County (Garzê), donating winter clothing,
grain, furniture, appliances, and livestock feed to help local residents through the coldest months. In October 2025, the
Company partnered with the Sichuan Yong Hao Foundation to visit Sanchahe Town Kindergarten in Zhaojue County,
Liangshan Prefecture, delivering custom-made down jackets to 254 teachers and students — a tangible gesture of
care as winter approached.
78
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Disaster Relief
Caring for Society
New Hope Mandalay Company serving as a temporary disaster relief coordination
center
Acting on its humanitarian responsibility, the Company responded to major natural disasters at multiple domestic and
overseas sites during the reporting period. It provided post-disaster assistance, coordinated material distribution, and
supported home reconstruction efforts to help affected communities recover and rebuild.
Case
New Hope Liuhe’s Myanmar Region Mobilizes for Earthquake Relief
On March 28, a magnitude 7.7 earthquake struck Mandalay, Myanmar, causing severe destruction across the city and surrounding areas. The Myanmar
Region of New Hope Liuhe responded swiftly, designating New Hope Mandalay Company (a supervisory unit of the Sichuan-Chongqing Chamber of
Commerce in Myanmar) as the chamber’s temporary disaster relief command center and the on-site coordination hub for the Chinese rescue team.
The company allocated office space and ensured the rescue team’s accommodation, meals, and transportation needs were fully met throughout
the operation. The company’s general manager led employees in repairing equipment and restoring production to secure supply chains, while
simultaneously coordinating the distribution of relief materials across multiple channels. Working alongside the Chinese Embassy and various chambers
of commerce, the company mobilized customers and partners to donate, and oversaw the collection and logistics of essential supplies including
drinking water, food, and disinfection materials. It further assisted the chambers in distributing supplies and providing on-site meals to those in need,
standing in solidarity with earthquake-affected communities and demonstrating the compassion and responsibility of a transnational enterprise.
At the end of 2025, New Hope Mandalay Company donated 2 million Myanmar kyats to earthquake-affected Guoqiang School in Lashio, northern
Myanmar, to support post-disaster teaching improvements and help overseas Chinese children continue accessing quality education.
Distribution of food, water, and essential supplies to
residents in affected nearby villages
About This Report
The New Hope Liuhe Co., Ltd. 2025 Sustainability Report
(hereinafter referred to as “this report”) is the 18th non-financial
report publicly released by New Hope Liuhe Co., Ltd.
Definition of Terms
For ease of expression and reading, New Hope Liuhe Co., Ltd. is
referred to as "New Hope Liuhe", "the Company" or "we" in this
report. In addition, the terms "country" and "government" in the
report refer to the People's Republic of China and its administrative
bodies.
Reporting Scope
Reporting Period: From January 1, 2025, to December 31, 2025.
Organizational Scope: The scope of this Report is consistent with
that of the Company’s annual consolidated financial statements.
Reporting Frequency: This report is published on an annual basis.
Basis of Preparation
This report has been prepared with reference to the GRI
Sustainability Reporting Standards issued by the Global
Sustainability Standards Board (GSSB); Self-Regulatory Guidelines
No. 17 for Companies Listed on Shenzhen Stock Exchange
—
Sustainability Report (For Trial Implementation); Self-Regulatory
Guidelines No. 3 for Companies Listed on Shenzhen Stock
Exchange — Preparation of Sustainability Reports (2026 Revision);
the national standard Guidance on Social Responsibility Reporting
(GB/T 36001-2015); and the United Nations Sustainable
Development Goals (SDGs).
The Myanmar company carried out tree-planting activities in
earthquake-affected areas in response to ASEAN’s initiative.
80
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Economic Indicators
Operating revenue
billion RMB
141.70
103.06
107.11
Total assets
billion RMB
129.61
117.92
114.23
Feed sales volume
million tonnes
28.76 25.96
29.74
Pig output
million heads
17.68
16.52
17.55
Indicator
Unit
2023 2024
2025
82
New Hope Liuhe Co., Ltd.2025 Sustainability Report
About This Report
Governance Indicators
Indicator
Unit
2024 2025
Corporate
Governance
Risk and
Compliance
Management
Business
Ethics
Information
Security
Shareholders' meetings held
Resolutions approved at shareholders’ meetings
Number of Board meetings held
Resolutions approved by the Board
Total number of Board members
Proportion of independent directors
Proportion of female directors
Average term of office for board members
Board meeting attendance rate
Cash dividend per share
Periodic reports disclosed
Disclosure of temporary announcements
Number of investor communication events held
Number of participants in investor communication activities
times
items
times
items
persons
%
%
year
%
RMB
pieces
pieces
times
attendances
4
35
15
67
9
33.33
33.33
7.89
100
——
4
120
15
1,156
4
21
10
48
9
33.33
44.44
4
100
0.024
5
126
10
327
Performance audits
Supervisory audits
Other special audits
times
times
times
27
29
43
15
30
21
Signing rate for the Employee Sunshine Commitment Letter
Total training hours for employee anti-corruption training
Effective report resolution rate
Number of unfair competition incidents
%
hours
%
cases
100
9.09
100
0
100
6.03
100
0
Cyberattack and defense drills conducted
Information security and privacy protection
disputes/customer privacy breaches
times
cases
—
0
1
0
Reporting Principles
This report adheres to the principles of materiality, balance, quantification, and consistency.
Principle of Materiality: The Company conducts a materiality assessment to identify and evaluate significant ESG issues relevant to the Company's
operations and both its internal and external stakeholders, and highlights these issues in this report. For further details on the materiality assessment
process and results, please refer to the “Sustainable Development Management” section of this report.
Principle of Balance: This report reflects objective facts, providing an unbiased disclosure of both positive and negative information related to the Company.
It presents a balanced account of the Company’s efforts across different ESG dimensions. During the reporting period, no material negative incidents were
identified that should have been disclosed but were not.
Principle of Quantification: The Company discloses quantitative ESG performance indicators in this report and, where applicable, sets quantitative
performance targets. The measurement standards, methodologies, assumptions, and/or calculation tools used for key performance indicators in this report,
as well as the sources of conversion factors adopted, are explained in the relevant sections where applicable.
Principle of Consistency: This report maintains consistency in the statistical and disclosure methods used for the same indicators across different reporting
periods. Where changes have been made to the statistical or disclosure methods, sufficient explanations are provided in the notes to this report to facilitate
meaningful analysis and evaluation by relevant parties.
Source of Information
All the information and data used in the report are sourced from the Company's official documents, statistical reports, and financial reports, as well as
information on sustainable development practices of each unit that have been gathered and reviewed by the relevant departments responsible for
sustainability management of the Company. Where discrepancies exist between the financial data in this report and those in the Company’s annual report,
the annual report shall prevail. Unless otherwise specified, all monetary amounts referred to in this report are denominated in RMB.
Assurance of Accuracy
The Company hereby confirms that there are no false records, misleading statements, or material omissions in this Report, and assumes responsibility for
the authenticity, accuracy, and completeness of its contents.
Report Access
This report is published in PDF electronic format. It is available for viewing and download on the Shenzhen Stock Exchange’s designated information
disclosure platform, CNINFO (www.cninfo.com.cn), or on the Company’s official website (http://www.newhopeliuhe.com). If you have any questions or
suggestions regarding this report, please contact us at 000876@newhope.cn.
Key Performance Table
Environmental Indicators
million RMB
152.66 150.60
Eco-circular
Farming
Fermented manure
Reclaimed water returned to farmland
Land designated for nutrient recycling
Fresh fruits and vegetables produced
Incidents of improper use of veterinary drugs
Total grain savings
million tonnes
million tonnes
mu
million kilograms
cases
million tonnes
104,800
15.75
79,000
2.58
0
0.67
98,800
16.32
12,000
1.20
0
0.75
Energy
Management
Diesel consumption
Gasoline consumption
Natural gas consumption
Outsourced steam
liters
liters
million cubic meters
tonnes
11,761,478.46
1,275,137.06
106.98
458,390.45
7,771,617.40
324,967.26
103.97
593,697.91
Indicator
Unit
2024 2025
Environmental
Management
Total investment in environmental protection
(excluding depreciation)

Environmental Indicators
Energy
Management
Purchased electricity
Operational photovoltaic power generation
Consumption of photovoltaic power generation
Total energy consumption
Energy intensity
GWh
GWh
GWh
tce
tce/RMB million revenue
1,527.42
11.75
9.86
404,713.72
3.93
1,683.83
15.60
12.95
433,021.97
4.05
Greenhouse
Gas Emissions
Direct greenhouse gas emissions (Scope 1)
Indirect greenhouse gas emissions (Scope 2)
Total greenhouse gas emissions
Greenhouse gas emission intensity
tCO2e
tCO2e
tCO2e
tCO2e/RMB million revenue
264,591.66
930,406.76
1,194,998.42
11.59
245,682.20
1,047,041.65
1,292,723.85
12.10
Water
Resource
Managemen
Packaging
Management
Waste
Management
Total water withdrawal
Water intensity for feed processing
Water intensity in pig farming
Water intensity for slaughtering meat
Total water discharge
million tonnes
liters/tonnes
cubic meters/head
cubic meters/head
tonnes
25.39
65
2.5
0.35
19.06
28.77
65
2.43
0.35
21.65
Total amount of packaging materials used
Amount of paper used
Plastic packaging usage
tonnes
tonnes
tonnes
24,000
400
23,600
28,300
2,100
26,200
Total wastewater treatment volume
Chemical oxygen demand (COD) emissions
Total ammonia nitrogen emissions
Recycling rate of swine farming wastewater
Non-hazardous waste
Hazardous waste
million tonnes
tonnes
tonnes
%
tonnes
tonnes
18.14
9,811.33
496.77
93.34
316,024.45
5.42
20.72
10,208.86
538.07
84.9
140,386.23
8.01
Male employees
Female employees
Employees aged 30 and under
Employees aged 31-50
Employees over 50 years old
Employees with high school education or below
Employees with college degree
Employees with bachelor's degree
Employees with graduate/MBA degree or above
Chinese employees (including employees from Hong
Kong, Macao and Taiwan)
Overseas employees
Social Indicators
Social Indicators
Production
Safety
Quality
and Service
Quality
and Service
Supply
Chain
Management
Human
Capital
Development
Labor
Management
R&D
Innovation
Total investment in production safety
Work safety emergency drills conducted
Amount of work injury insurance payment for employees
Work injury insurance coverage rate for employees
Amount invested in workers' occupational safety and health liability insurance
Coverage rate of workers' occupational safety and health liability insurance
Employee occupational disease incidence rate
Number of participants in quality training
Average customer satisfaction
million RMB
times
million RMB
%
million RMB
%
%
92.93
1,656
19.1
100
—
—
0
109.51
1,823
24.96
100
2.60
36.52
0
5,468
98.50
Market inspection pass rate
Major product safety and quality accidents
Product recall incidents
Total number of suppliers
Total number of suppliers that passed the desk review/on-site evaluation
Suppliers certified to quality management systems
Number of suppliers participating in integrity and compliance training
Total number of employees
Labor contract signing rate
Social insurance coverage rate
Total number of incidents of employee discrimination or harassment
Proportion of ethnic minority employees
Proportion of disabled employees
Percentage of female employees in junior, middle, and senior management positions
Percentage of women holding management positions in revenue-generating
functions (such as sales)
Total R&D investment
Number of R&D staff
Number of newly granted patents
Total number of valid patents
Total number of software copyrights
Total number of trademarks
%
cases
cases
attendances
Score
companies
companies
companies
companies
persons
persons
persons
persons
persons
persons
persons
persons
persons
persons
persons
persons
persons
%
million RMB
person-times
hours
%
%
cases
%
%
%
%
million RMB
persons
cases
cases
items
items
100
0
0
35,106
7,954
935
23.94
5.78
31,077
26.60
4,297
96.46
4,696
4,696
201
500
41,327
31,852
9,475
12,291
23,749
5,287
13,993
11,064
13,710
2,560
33,912
6,325
262
—
6.76
37,600
28.65
100
100
0
7.71
0.49
14.12
3.39
270.28
717
116
1,426
45
878
100
0
0
4,261
3,169
1,980
2,005
43,753
34,090
9,663
13,129
24,682
5,942
15,678
12,122
13,615
2,338
100
100
0
7.44
0.61
16.07
3.53
191.35
743
48
1,361
58
851
Gender structure
Age structure
Academic
structure
Regional
structure
Number of people employed during the reporting period
Number of newly recruited fresh graduates
Employee turnover rate
Total investment in employee training
Number of employees participating in training
Annual training hours per employee
Indicator
Unit
2024 2025
Indicator
Unit
2024 2025
Indicator
Unit
2024 2025
persons
7,415
8,647
Key Performance Table
84
New Hope Liuhe Co., Ltd.2025 Sustainability Report

Key Performance Table ｜ Indicator Index Table
Indicator Index Table
Reporting Framework
Sustainability Reporting Guidelines
GRI Standards 2021 (reference)
Message from the Chair
2-11，2-22
About New Hope Liuhe
2-1，2-6，201-1
Sustainable Development
Strategies and Progress
2-22
Special Feature
Efficient Governance Strengthening the Foundation for Development
Party Building Efforts
——
——
——
——
——
——
——
——
Corporate Governance
Risk and Compliance Management
2-25，2-27
Business Ethics
Information Security and Privacy
Protection
203-2，418-1
Article 52
Article 52
2-9，2-10，2-11，2-15，2-16，2-26，2-27，
405-1
Sustainable Development
Governance
Articles 5, 9, 12, 13,
14, 15, 17, 18, 51, 52,
and 53
2-6，2-9，2-12，2-13，2-14，2-17， 2-24，
2-26，2-29，3-1，3-2，3-3
Article 55 and 56
2-15，2-25，2-27，205-1，205-2，205-
3，206-1
Tax Transparency
207-1，207-2，207-3
Article 48
Premium Products for Accessible Nutrition and Health
——
——
Green Industry for a Thriving Natural Ecosystem
Value Co-creation for Common Prosperity
Appendices
——
——
——
R&D in Nutrition and Health
Article 41, 42, and 43
2-27，201-1，203-2，404-2
Advancing Smart Farming
Service Quality Enhancement
Article 44 and 47
2-25，2-26，2-27，417-1，417-2，418-1
Supply Chain Management
Article 44, 45, and 46
2-6，2-27，203-2，308-1，308-2，
414-1，414-2
Sustainable Agriculture
Article 31and 37
101-8，301-2
Sustainable Operations
Article 30, 31, 33,
and 36
2-27，201-1，301-1，301-3，303-1，
303-2，303-3，303-4，303-5，306-1，
306-2，306-3，306-5
Addressing Climate Change
Article 21, 22, 23,
24, 25, 26, 27, 28,
and 35
201-2，302-1，302-2，302-3，302-4，
302-5，305-1，305-2，305-4，305-5
Ecosystem and
Biodiversity Conservation
Article 32
101-1，101-2，101-4，101-7
Enabling Employee Growth
Article 49 and 50
2-7，2-8，2-23，2-25，2-26，2-27，2-30，
201-3，202-1，401-1，401-2，401-3，403-1，
403-2，403-3，403-4，403-5，403-6，403-7，
403-8，403-9，403-10，404-1，404-2，
404-3，405-1，406-1，407-1，408-1，409-1
Empowering Farmers
Article 38 and 39
201-1， 203-2
Caring for Society
Articles 38, 39, and 40
201-1，203-1，203-2，204-1，413-1，413-2
About This Report
2-2，2-3，2-4，2-29
Key Performance Table
2-6，2-7，201-1，302-1，302-2，302-3，303-
3，303-4，305-1，305-2，305-4，403-9，404-
1，405-1
Indicator Index Table
Article 57
Rigorous Quality and Safety Control
Article 44 and 47
2-27，416-1，416-2
Social Indicators
Contract farming service fees settled
Amount of funding secured
billion RMB
billion RMB
3.0
75.0
2.03
82.9
Indicator
Unit
2024 2025
Empowering
Farmers
Instructions for use: New Hope Liuhe has reported the information referenced in this index table for the period from January 1, 2025 to December 31, 2025 in
accordance with the Self-Regulatory Guidelines No. 17 for Companies Listed on Shenzhen Stock Exchange— Sustainability Report (For Trial Implementation)
and with reference to the GRI Standards.
86
New Hope Liuhe Co., Ltd.2025 Sustainability Report

1. How would you rate this report overall?
◯ Excellent ◯ Good ◯ Average ◯ Below Average ◯ Poor
2. How would you evaluate the quality of the sustainability information disclosed in this
report?
◯ Excellent ◯ Good ◯ Average ◯ Below Average ◯ Poor
3. How would you rate the structure and organization of this report?
◯ Excellent ◯ Good ◯ Average ◯ Below Average ◯ Poor
4. How would you rate the layout and visual presentation of this report?
◯ Excellent ◯ Good ◯ Average ◯ Below Average ◯ Poor
5. How would you rate the readability of the report?
◯ Excellent ◯ Good ◯ Average ◯ Below Average ◯ Poor
6. Does the content disclosed in this report meet your expectations?
◯ Yes ◯ No ◯ Unsure
7.Does this report provide a comprehensive reflection of New Hope Liuhe’s social
responsibilities?
◯ Comprehensive ◯ Partial ◯ Inadequate
8、Do you have any suggestions or comments regarding New Hope Liuhe’s sustainability
management practices or this report? We welcome your valuable input.
Feedback Form
Dear Reader,
We sincerely thank you for reading the New Hope Liuhe Co., Ltd. 2025 Sustainability Report. We highly value your opinions on this report. To help us further
enhance our sustainability management and practices, we kindly invite you to share your feedback and suggestions. Your input will enable us to continuously
improve the quality and effectiveness of our reporting. You are welcome to complete the following form and return it to us via email or post.