China Hongguang 2025 ESG Report: Energy Use Down 37%, Total GHG Emissions Cut 40%

Bulletin Express
04/22

China Hongguang Holdings Limited published its 2025 Environmental, Social and Governance (ESG) Report, detailing notable progress in carbon reduction, resource efficiency and supply-chain streamlining during the 12 months to 31 December 2025.

Environmental Performance

– Total greenhouse-gas emissions fell 40.32% year-on-year to 729.28 tonnes, driven by a 40.72% decline in Scope 2 electricity-related emissions to 707.87 tonnes. – Group electricity consumption decreased 37.78% to 1,334.09 MWh, contributing to a 37.38% drop in overall energy use to 1,350.62 MWh (27.01 MWh per employee). – Scope 3 emissions were reduced 51.65% to 17.31 tonnes, reflecting lower business travel and tighter paper management. – Paper waste shrank 31.03% to 0.20 tonnes, while no hazardous waste was generated. – Water usage remained broadly stable at 41,521 m³ (830.42 m³ per employee). – Air-pollutant output from the single petrol vehicle in operation totalled 1.57 kg, equating to 0.03 kg per employee.

Operational Measures

The group expanded its fleet of electric vehicles to five units, installed on-site charging points and intensified factory equipment maintenance to improve energy efficiency. Office initiatives included mandatory double-sided printing, greater use of electronic documentation and time-controlled power supply to printers.

Social Indicators

– Headcount fell to 50 from 64, with frontline production staff accounting for 56% of the workforce. – Employee turnover rose to 24.56% (FY 2024: 4.58%). – Training coverage reached 100%, averaging 3.20 hours per employee. – The group recorded zero work-related injuries or fatalities for a third consecutive year. – RMB30,000 was donated to community projects, and staff volunteers contributed 250 hours.

Governance & Supply Chain

The board retains direct oversight of ESG strategy and risk management. Quarterly reviews now cover supplier pricing, quality, delivery and environmental practices. The approved vendor list was trimmed to 14 mainland suppliers (FY 2024: 30) after performance re-evaluation.

Product quality remained robust, with no recalls; two customer complaints were resolved through complimentary replacements. Anti-corruption training was delivered to 16 directors and senior managers, and no legal cases related to bribery or fraud were recorded.

Outlook

The board will continue to prioritise emission control, resource efficiency and stakeholder engagement, while monitoring evolving Hong Kong ESG disclosure requirements to align future reporting frameworks.

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