Sustainability Policies
HSE Policy

Sinochem International is committed to health, safety and environment (HSE), by providing our employees, customers and supply chain partners with health and safety of the highest standard. We take the social responsibility regarding HSE as our own and bears no tolerance to all kinds of safety accidents, endeavoring to realize the HSE goal of “zero damage, zero accident and zero pollution”. We strive to build an environment of “fine chemistry, green life” and are dedicated to forging HSE core competency and becoming a benchmark of safety management in the innovative fine chemical industry that is trustworthy to the society, customers, and employees.

Management System
We apply a scientific management system and methods to identify and control all risks involving health, safety and environmental protection and reduce personal injury, accident and environmental pollution.

Corporate Culture
We ask all employees to make and fulfill commitments regarding HSE. We’ve identified HSE as the basic standard to guide management decisions and daily operations. Besides, we demand all employees thoroughly understand and positively practice HSE to make it part of the routine work.

Risk Identification
We establish a holistic HSE risk identification, control and management mechanism that covers all employees and operations through systematic management. With it, we are allowed to identify, evaluate and manage HSE risks across supply chains and product life cycles, thus realizing continuous improvement and gradually reaching harmony among people, machine and the environment.

Monitoring and Improvement
We improve employees’ HSE behaviors by launching and monitoring HSE activities as well as providing professional HSE training, for the continuous improvement of HSE management. Also we control hazardous chemicals and toxic, harmful and other occupational hazards through regular review, evaluation and other effective measures to reduce their impact on people and the environment.

Open Supervision
We provide supply chain partners with sufficient safety and health information, and disclose our policies and commitments on HSE management to other partners. We’re open to HSE supervision by employees and the public, as we aim to become a global leading company respected for great contributions to the health, safety and environmental protection cause.

Energy Management and Climate Change Policy

Sinochem International is keenly aware of the risks and opportunities brought by climate change to our businesses. We therefore include the improvement of energy management and response to climate change into our corporate management and see them key to sustainable development.

Our Board of Directors is set with a Sustainable Development Committee, dedicated to the affairs surrounding energy management and climate change. From the Headquarters to subordinate units, all join hands to work on energy conservation and carbon reduction, and support the UN SDG 12 (Responsible Consumption and Production) and SDG 13 (Climate Action), striving for coordinated development between business operations and energy, resources and climate change.

Innovating Energy Conservation Technology to Reduce Energy Consumption
We practice the cascade utilization of energy by making full use of residual energy including heat and pressure, recycling flammable gas and low caloric value fuel, and cutting unnecessary energy loss. Leveraging full life cycle product/service design, we upgrade energy conservation technology and process, raise utilization efficiency, and improve energy performance. Also we’re putting energy conservation and environmental protection equipment in service, as an alternative to high-consumption devices, to save energy and power.

Using Clean Energy to Optimize Energy Mix
We optimize energy mix by turning to clean energy and technologies. Under proper control, we gradually reduce greenhouse gas emission, either direct or indirect, contributing to a low-carbon and clean world.

Planning Energy Management to Control Energy Consumption
We identify the impact of corporate activities, products or services on local environment on a regular basis. Setting energy as a management index, we analyze energy consumption by year, along with ongoing energy conservation evaluation, energy audit, energy balancing tests, etc. These energy management measures are all intended to tap into energy conservation potential, and save energy in a more down-to-earth manner.

Raising Environmental Consciousness to Build Energy Conservation Culture
We encourage energy conservation and emphasize the responsibility of each employee for climate change. Besides the publicity of resource conservation and environmental protection ideas, and the training on energy and climate change, we also launch environmental protection programs to raise employees’ awareness and engage them in action.

Water Stewardship Policy

As water shortage and pollution continue to worsen, sustainable water stewardship becomes crucial to the chemical industry. As an innovative fine chemical enterprise with core competencies, Sinochem International champions the UN SDG 12 (Responsible Consumption and Production). Thus we have built a comprehensive water stewardship system that covers from management to action and from equipment to process, as part of our efforts to contribute to the sustainable utilization of water resources and worldwide water resource protection.

Identifying Water Source to Evaluate Risk
We identify the source of water, measure, record and report water resources for risk evaluation, to keep adapting and improving management methods.

Practicing Strict Sewage Disposal to Maintain Good Water Quality
We set strict standards for the discharge of both industrial and domestic wastewater and check the compliance of wastewater monitoring and management in subsidiaries. We improve systems for the diversion of rain-sewage and water-sewage, and promote sewage purification through technological studies.

Upgrading Manufacturing Process to Reduce Water Demand
We reduce water consumption from the source, optimize and upgrade manufacturing technique and perform clean production based on full life cycle product/service design and management to minimize water demand.

Optimizing Water Cycling to Improve Efficiency
We keep optimizing our water consumption mix and promoting water cycling to adapt to the need for operation and environment. Manufacturing process is upgraded to improve recycling efficiency; a reclaimed water system supported by multiple filtration and treatment approaches is built to help reduce the use of fresh water.

Advocating Full Engagement to Build Water Conservation Culture
We inculcate the idea of water resource protection and conservation and popularize water consumption among employees by posting slogans and organizing themed events and training. We advocate appropriate and economical water use, as a way to raise the consciousness of water conservation throughout the Company.

Anti-Corruption Policy

Sinochem is aware that the highest moral standard and goodwill sustain as the Company’s competitive edge and foundation. We strictly obey laws, regulations and professional ethics, reinforce efforts to curb corruption and commercial bribery, and forbid executives and employees from joining or tolerating bribery or corruption in any form. With integrity as the base line, we are dedicated to operating in a moral manner, building a clean workplace and maintaining an honest corporate image.

Anti-Corruption
We adopt a zero-tolerance policy against all forms of corruption. All of our employees undertake to obey the code of anti-corruption conduct and the anti-corruption laws and regulations in the country where commercial activities take place, and not to engage in any corrupt or improper acts. We have developed honest employment management measured and a corresponding constraint mechanism to carry out honesty risk evaluation, supervision and inspection and to prevent corruption.
Our business partners are also informed with our zero-tolerance policy towards corruption to avoid business transactions with people and companies with known or suspected acts of corruption.

Anti-Commercial Bribery
Employees must treat customers and other business partners fairly and obey the regulations of Sinochem International on business reception and travel expense. Employees shall neither offer bribe or kickback to any business partner nor ask for or receive bribe or kickback (including cash and cash equivalents, services, and physical gifts beyond the standard for regular business etiquette). In case a gift or cash gift is received under special circumstances, the employee shall report to the Company and turn it in in a timely manner.

Avoiding Conflict of Interest
We forbid business transactions between companies invested or run by our employees or their spouses, children or other affiliated persons and Sinochem International or any of its subsidiaries that might compromise the Company’s interest. Where the personal interest of an employee is in potential conflict with that of the Company, the employee shall report to his/ her leader, disciplinary inspection department or HR department in a timely manner, including taking part-time jobs, working with affiliated persons on investment or operations, etc.

Informant Protection
We provide open and safe reporting channels, both internal and external, for violations or suspicious activities. We protect informants by keeping their names and reports confidential; and ensuring the independence of information receivers and administrators. Those leaking informant information or retaliating against informants will be removed from duty with labor contract canceled; those breaking national laws will be transferred to the judiciary for legal punishment.

Antimonopoly Policy

Sinochem International firmly believes that a market environment of fair competition is good for the healthy and long-term development of the Company. We persist in competing with our counterparts through fair transactions and in a legally compliant manner. We are determined to put an end to any act against the Antimonopoly Law of the People’s Republic of China (hereinafter referred to as the “Antimonopoly Law”). We require all employees to strictly obey the Antimonopoly Law, which not only comes in line with the inherent requirement to perform legal duties, but also manifests our responsibility and values.

With Competitors
When dealing with our competitors, we strictly obey laws and regulations and refrain from reaching any agreement with any one of them that inhibits fair competition.
An agreement or concerted practice with competitors that is intended for or causes specified restrictions and exclusion from competition shall be deemed as a horizontal monopoly agreement and be banned and punished subject to the Antimonopoly Law. A horizontal monopoly agreement generally includes concerted practice between the Company and a competitor to fixate or change prices, carving up the market, jointly boycott customers or suppliers, restrict output or participate in collusion in bidding and tenders, etc.

With Suppliers and Customers
We deal with agreements or concerted practices with suppliers or customers with caution (vertical or upstream/ downstream).
An agreement or concerted practice between the Company and its supplier or customer (vertical or upstream/ downstream) may constitute restriction on competition under certain conditions, including: fixing resale prices, setting minimum resale prices, price description, restricted resale or use under certain conditions, long-term supply agreements restricting other suppliers from selling products to customers, bundle sales, etc.

Avoiding Abuse of Market Dominant Position
“Market dominant position” does not solely refer to the situation where the Company is the only supplier on the market. The Company’s power to control prices or exclude competitors on the market is deemed a market dominant position as well. Market share is a vital factor to determine whether the Company is dominant on the market.
The Antimonopoly Law does not prohibit the Company to be dominant on the market, provided that such a dominant position is acquired completely through free and fair competition, i.e. by improving product quality or service quality or expanding advantages, etc. Under such circumstances, the Company shall not abuse its market dominant position. In general, the abuse of market dominant position refers to acts such as high pricing or predatory pricing, rejection to trade, imposition of exclusive clauses, loyalty discount and discriminative practices.

Labor and Human Rights Policy

Sinochem International sees employees as its most valuable assets. We firmly believe that talent is inseparable from sound operation and management, as well as high corporate competitiveness. Upholding the people-oriented principle, Sinochem International has developed thorough regulations and policies on human resources management. With the expectations and needs of employees fully considered, the Company keeps safeguarding their rights and interests. We are dedicated to building a diversified and discrimination-free working environment and a fair career development platform to inspire employees to create value in a vibrant and cohesive atmosphere.

Upholding Equal Employment
We follow the principle of equal employment and provide applicants with equal opportunities. Job requirements, personalities, competences, education backgrounds, etc. constitute our criteria for selecting, interviewing and hiring applicants. Labor contracts or similar agreements are signed on an equal, voluntary, consensual and honest basis pursuant to applicable laws. We champion the rights of employees to cancel labor relationship under contracts or laws and regulations.
We pledge to comply with the Regulation on Prohibition of Child Labor and not to hire or support the hire of people under the minimum age for employment set by each region.

Working Conditions and Social Security
We build a good working environment, value the physical and mental health of employees, provide them with due development opportunities, and encourage them to give full play to their own potentials for innovation and development.
Salaries, working hours, leaves and holidays, etc. are part of our working conditions. We practice equality and equal pay between men and women and respect employees’ right to rest and relax by granting paid leaves. We intend to build a harmonious and stable labor relationship with employees, and guarantee the employees’ right to participate and petition.

Anti-Discrimination and Anti–Harassment
In no cases will we put employees under discrimination, rejection or unfair treatment regarding recruitment, training, promotion, salary and benefits, labor conditions, organizing and joining trade unions, retirement, dismissal and other aspects due to gender, age, religion, race, family background, social background, disability, ethnicity, nationality, marital status, disease or other reasons.
All forms of harassment and infringement of the human rights of others are strictly forbidden, including sexual coercion, threat, insult and other contacts, either verbally or physically.

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