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Highstar regards sustainable development as a crucial component of its long-term corporate strategy. While achieving robust operations and a global footprint, we strive for the unification of economic benefits, environmental benefits, and social value.
Sound ESG Governance Structure: The Company has established the Sustainable Development Management Strategy Committee as the highest decision-making and coordinating body for ESG efforts. Under this committee, a Sustainable Development Working Group and executive teams within various departments have been set up. This forms a three-tiered governance architecture of "Strategic Decision-Making — Comprehensive Coordination — Business Execution," ensuring closed-loop management from goal setting to project implementation.
Compliant Operations and Responsible Supply Chain: The Company has constructed "Three Lines of Defense": source prevention in business operations, risk and compliance control, and internal audit supervision. We have perfected our compliance and anti-fraud mechanisms, embedding compliance requirements into R&D, procurement, production, sales, and other links. Furthermore, through a strict supplier access and assessment system, we promote a green, transparent, and responsible supply chain.

Highstar actively responds to the national strategy of "Carbon Peaking and Carbon Neutrality" and the *Paris Agreement* by formulating clear greenhouse gas (GHG) reduction plans. Our goal is to achieve a 5% reduction in energy consumption per unit of product and a 3% reduction in total energy consumption annually, ensuring production and operations are maintained. We incorporate energy conservation and emission reduction into our key annual objectives, continuously advancing GHG inventories and energy efficiency improvement projects to reduce both unit and comprehensive energy consumption, thereby driving the transition of production and operations towards low-carbon efficiency.
Circular Economy and Full Product Lifecycle Management: We are exploring the CTC (Customer-to-Customer) mode to promote the full lifecycle circulation of Lithium Iron Phosphate (LFP) materials. Additionally, we deeply integrate ESG concepts into product development (IPD 2.0) to enhance product energy efficiency and safety.
Green Manufacturing and Environmental Management Systems: We have obtained ISO 14001 certification and other management system certifications to strengthen the management of energy and water resources, as well as the treatment of wastewater, exhaust gas, and solid waste. We are also actively laying out green new tracks such as sodium-ion batteries and solid-state batteries, accelerating the cultivation of new quality productive forces in the new energy industry.

The Company adheres to the talent philosophy of "Cultivating Talent Before Manufacturing Cells" (building people before building products). We deeply integrate our talent strategy with our business transformation strategy. Through Occupational Health and Safety (OHS) management systems, "Healthy Enterprise" construction, training systems, and diverse career development paths, we create a safe, healthy, and growth-oriented work environment, allowing employees and the enterprise to grow together through high-quality development.
Collaborating with Stakeholders for Social Contribution: The Company establishes regular communication mechanisms with the government, employees, customers, suppliers, communities, and industry partners. We fulfill our corporate social responsibilities focusing on tax compliance, job creation, product quality, and community service. Furthermore, we actively participate in poverty alleviation, education, healthcare, and public welfare projects, taking practical actions to give back to society and co-build a harmonious, sustainable industrial and community ecosystem.