As a leading enterprise in the electronics manufacturing industry, Luxshare has firmly established the concepts of green development, circular development and low-carbon development. We take "reduce operational carbon emissions", "promote the use of clean energy” and "promote carbon offsets and carbon credits" as the basic principles. With the strategy of focusing on energy conservation and emission reduction and the use of renewable energy, supplemented by carbon offsets and carbon credits, Luxshare will gradually achieve carbon neutrality in its own operations and value chain, as well as devote itself to building green factories and green manufacturing throughout the entire life cycle of the industrial chain.
In January 2022, Luxshare Precision submitted its scientific carbon target commitment, and it is expected to complete the formulation of medium and long-term emission reduction targets by the end of 2023 and pass the SBTi verification. In addition, Luxshare has also committed to achieving carbon neutrality by 2050.
In 2021, 33 factories (accounting for 63.46%) of Luxshare have passed ISO14001 environmental management system certification, 6 factories (accounting for 11.53%) have been awarded the title of green factory by the Ministry of Industry and Information Technology, and the R&D investment in the field of clean technology have exceeded 166 million RMB. In the year, we used a total of 271,197 MWh of green electricity (accounting for 15.57% of the total energy consumption), and reduced annual greenhouse gas emissions by 177,871 tons of carbon dioxide equivalent.
In 2021, Luxshare Precision increased investment in energy-saving renovation projects, adjust the energy structure, adopt advanced technologies, improve energy consumption systems, and strictly manage various energy-saving and carbon-reduction projects in daily management, supervise the actual energy-saving benefits, and achieve annual savings. The electricity consumption is 49,480 MWh, and the annual emission reduction of greenhouse gas reaches 31,088 tons of carbon dioxide equivalent.
In order to build a full-life-cycle greenhouse gas management mechanism, Luxshare starts from upstream and downstream sections of the supply chain, identifies and controls the factors affecting carbon emissions in each process, enhances the supply chain's professional capabilities in carbon management, and pushed the supply chain to take more active and effective actions on climate change. In November 2021, we released the "Green Supply Chain Proposal"：
1. Abide by the laws related to environmental protection and consciously accept government supervision;
2. Lead the green development of the industry and strengthen green management of the whole life cycle of products;
3. Proactively disclose PRTR data, remove negative environmental regulatory records in a timely manner, and consciously accept public supervision and suggestions;
4. Choose clean and green chemicals and actively develop low VOCs materials;
5. Actively check and reduce greenhouse gas emissions to achieve carbon peak and carbon neutrality.
On April 29, 2022, Luxshare Precision held a training on "Investigation and Quantification of Low-Carbon Supply Chain Management under the Background of Carbon Neutrality" for the core supply chain. The training focused on the low-carbon strategies and paths of enterprises under the carbon neutrality policy, the scope of carbon inventory under low-carbon supply chain management (scopes 1, 2, 3), and key points of data collection, and conducted professional and in-depth discussions with nearly 2,000 people, which has laid a solid professional foundation for the realization of energy conservation and emission reduction, carbon management and dual-carbon goals.
To strengthen the carbon emission data management of itself and the supply chain, Luxshare is currently developing a carbon management system involving both internal and external related parties, and will complete the group-level greenhouse gas certification (ISO14064-1). For key suppliers with significant carbon emissions, we will use the carbon management system to manage related carbon data, and for supply chain companies that are passively responding to climate changes and providing carbon data, we will take restrictive measures in procurement and supply until they are confirmed to meet relevant management requirements.
It is a long and arduous process to realize green and low carbon development as well as energy saving and emission reduction. Luxshare will continue to strenghthen the construction of green manufacturing and green supply chain system.
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