Chuangxin Industries Holdings Limited has published the full terms of reference for its Environmental, Social and Governance (ESG) Committee, formalising the body’s structure, mandate and reporting lines.

Key Highlights

1. Purpose • The committee will advise the Board on long-term ESG strategy, risk management and major decisions, with a specific remit to integrate ESG factors—particularly climate-related issues—into corporate strategy and oversight.

2. Composition • Minimum of three members, including at least one executive director and one independent non-executive director who meets Hong Kong Listing Rules’ independence requirements. • One member will be appointed as chairman by the Board.

3. Meetings • At least one meeting per year; additional sessions may be convened as needed. • A quorum of two members is required. • Decisions are made by simple majority, with the chairman holding a casting vote when necessary.

4. Authority and Resources • Full access to management and company information. • Empowered to obtain external professional advice at the company’s expense.

5. Core Responsibilities • Monitor ESG and climate-change trends relevant to the company and make strategic recommendations. • Oversee integration of ESG considerations into major transactions, internal controls and risk management systems. • Regularly review ESG-related risks and opportunities and evaluate corresponding mitigation plans. • Supervise fulfilment of ESG commitments and performance targets. • Vet the company’s ESG report and all other ESG-related disclosures to ensure compliance with applicable regulations.

6. Reporting • The committee will report its decisions and recommendations directly to the Board and present at the annual general meeting to address shareholder questions.

By codifying these guidelines, Chuangxin Industries aims to strengthen governance around sustainability, enhance transparency and align its operations with evolving regulatory and stakeholder expectations.