Shenzhou International Cuts Emissions 21% and Lifts Renewable Power Share to 74% in 2025 ESG Report

Bulletin Express
Apr 23

Shenzhou International (02313) released its 2025 Environmental, Social and Governance Report, covering operations in Cambodia, China and Vietnam. Key highlights are outlined below.

Environmental Performance • Scope 1 + 2 greenhouse-gas emissions fell 21% from the 2020 baseline to 0.91 million tCO₂e—on track for the 42% cut pledged by 2030. • Renewable electricity penetration surged to 74%; on-site solar output reached 118,034 MWh with installed capacity of 112.40 MWp. • Roof-top solar plus power-purchase agreements supplied 100% renewable power to 69% of production facilities. • Coal has been eliminated at all sites except one Vietnam Tier-2 mill; the remaining facility has cut coal use 41% year-on-year. • Reverse-osmosis recycling generated 5.47 million t of permeate water, lifting total RO capacity to 20,000 t per day. Fresh-water intensity has improved 14% versus 2020. • Manufacturing waste continued “zero landfill / zero incineration”; hazardous waste totalled 2,987 t and non-hazardous waste 209,571 t, with 5,892 t reused. • Science-aligned targets and progress were verified by Bureau Veritas; ISO 14001 certification remains in force.

Social Metrics • Group headcount rose to 108,680, with women representing 71%. Monthly employee turnover stayed below 3% for a third consecutive year. • More than 900 staff advanced to middle management or above, 65% of them female. • The first employee childcare centre opened in Cambodia; a “House of Solidarity” scheme financed home rebuilding for staff in post-conflict areas. • No major work-related injuries or fatalities were recorded; recordable-incident rate stood at 0.641 per 200,000 work-hours. • All facilities completed employee-satisfaction surveys and Women Leadership programmes.

Supply-Chain Oversight • ESG audits covered 78 supplier sites—100% rated A or B; 215 of 414 findings have been closed. • All suppliers signed the updated Code of Conduct; 8 suppliers were permanently delisted for severe integrity breaches. • Green-power purchases by suppliers exceeded 150 million kWh, and 24 suppliers now run roof-top solar.

Governance & Information Security • Anti-corruption training reached 100% of employees; 1,523 integrity agreements were signed with partners. • No data breaches occurred; ISO/IEC 27001 and ISO/IEC 38505-1 certifications were retained. • Scenario analysis shows that even a stringent carbon-pricing regime would add less than 0.30% to long-term costs; 2025 transition spending totalled RMB 16 million.

Outlook Management will focus on completing the coal phase-out by 2030, narrowing water-efficiency gaps and expanding supply-chain due diligence, while exploring industrial heat-pump deployment and AI-enabled manufacturing to sustain its decarbonisation trajectory and operational resilience.

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