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Occupational Health and Safety Risk Management

To enhance the ability to handle safety hazards, the Company has established the Procedure for HSE Risk Assessment Management and the Safety Production Inspection System, and conducts the comprehensive health and safety risk assessment twice a year. Meanwhile, the Company conducts comprehensive health and safety risk identification programs and develops targeted risk management measures before production. During production, the HSE department keeps monitoring identified risks by on-site safety hazard inspection, leading a model which involves cooperation among multiple departments, strengthening the ability to identify potential hazards. In 2023, the HSE Management Department organised weekly, monthly, seasonal, and professional safety inspections and guided relevant departments to rectify the identified safety risks on site. A total of 683 safety risks were identified and rectified, with a rectification rate of 100% over the year. Production facilities have also prepared a special emergency plan for health and safety, and organised emergency drills to improve their emergency response ability. This year, the Company’s facilities held 29 emergency drills, covering all employees.

The Company encourages all staff to engage in production safety risk management by establishingmultiple online and offline feedback mechanisms, including:

Established the Safety Observation Card Management System to encourage employees to engage in the daily safety observation, report compliant and non-compliant safety operations, and propose suggestions on production safety management.

Set a “Box for Safety Observation Card Collection” in office buildings and operating sites. If employees identify safety risks in production, they fill in the Safety Observation Card and put it into the box. The person in charge of collecting the box regularly gathers the observations to summarise and analyse employee feedback.