COSCO SHIPPING : 2021 Sustainability Report

2021

Sustainability Report

COSCO Shipping Holdings Co., Ltd.

Contents

01	02	03	04	05
Foreword	Sustainable	Sustainable	Sustainable	Appendix
business	operation	community

02	About this report	08	Business introduction	20	Environmental protection	55 Investment in community	58	Laws, regulations and
03	Speech by Chairman	11	Sustainable development	30	Safe shipping			internal policies
	59
05	Board statement		governance	37	Employee care		Sustainable
15	Business ethics			development data
06		46
Performance highlights	Service promotion		63	Hong Kong Stock
18	Economic co-promotion
						Exchange Guidelines
							65	GRI Index
							69	Independent
								verification statement

Foreword

Foreword

02	About this report	1
03 Speech by Chairman
05 Board statement
06 Performance highlights

	Foreword	Sustainable	Sustainable	Sustainable		1
Shipping for Global Recovery 2021 Sustainability Report	business	operation	community	Appendix

About this report

Reporting period

January 1, 2021 to December 31, 2021 (the "reporting period")

Reference standard

This report is compiled with reference to the Guidelines for Environmental, Social and Governance Reporting issued by The Stock Exchange of Hong Kong Limited and the GRI Standards issued by the Global Reporting Initiative (GRI) in 2021.

The compilation of this report mainly follows the following basic principles:

Materiality

The report shall disclose the environmental, social and management matters that are relevant to investors and other stakeholders and will have a significant impact on them.

Quantitative

Scope of report

This report covers COSCO Shipping Holdings Co., Ltd. (hereinafter referred to as "the Company") and its subsidiaries (hereinafter referred to as "COSCO Shipping Holdings" or "we"). This report carefully selects the disclosed entities with "whether there is actual business operation" as the criterion for selection, and filters out production units and companies that have no actual business operation or that have actual operation with little or no impact based on the overall impact of the actual entities on the environment, society and

governance of COSCO Shipping Holdings Co., Ltd. We selected three first-level subsidiaries, namely COSCO Shipping Lines Co., Ltd., COSCO Shipping Ports Limited, and Orient Overseas (Internationa) Limited, as well as the subsidiaries covered by the financial reports of these three first-level subsidiaries. In case of special circumstances, the statistics of specific data will be explained in the corresponding part. See the Scope of Report in the appendix for the specific list of companies.

Key performance indicators should be measurable so that the benefits of the environmental, social and governance policies and management systems can be evaluated and verified. Quantitative data should be accompanied by explanations for their purpose and impact, and comparative data should be provided when appropriate.

Consistency

T h e r e p o r t s h o u l d u s e c o n s i s t e n t statistical methods for disclosure so that environmental, social and governance data can be collated for meaningful purpose in the future. The report should disclose the change of statistical methods (if any) or any other relevant factors that may affect meaningful collation.

	Foreword	Sustainable	Sustainable	Sustainable		2
Shipping for Global Recovery 2021 Sustainability Report	business	operation	community	Appendix

Speech of Chairman

Chairman of COSCO

Shipping Holdings Co., Ltd.

Wan Min

As the world's leading integrated provider of container shipping service, COSCO Shipping Holdings entered the new development stage during the "14th Five-Year Plan" in 2021. It actively rises to the challenges and opportunities brought by the global economy and the shipping market and constantly improves its management for sustainable development to create value for the society, customers and employees, and achieve higher quality and more sustainable development.

	Foreword	Sustainable	Sustainable
Shipping for Global Recovery 2021 Sustainability Report	business	operation

Global business

building a new pattern of internationalized development

COSCO Shipping Holdings has overcame multiple problems such as the global Covid-19 and strengthened investigation to set the right direction of its long-term development. By analyzing domestic and international situations, COSCO Shipping Holdings has turned development opportunities into development advantages, deepened innovation-based cooperation, improved the quality and efficiency of development, and solved the pain points of the industry, which has created a new situation for COSCO Shipping Holdings's development during the "14th Five-Year Plan".

Under the background of global economic recovery, actively shouldering its due responsibility, COSCO Shipping Holdings ensures smooth operation, keeps abreast of the market trend, and continuously promotes the optimization and upgrading of global business distribution and customer structure. Striving for the more balanced global business distribution, COSCO Shipping Holdings has vigorously expanded its business in emerging markets, third- country markets and regional markets. At the same time, COSCO Shipping Holdings has increased its global capacity investment and enhanced its flexible allocation to achieve the maximum operational efficiency of capacity and shipping space. Despite the volatile global situation, COSCO Shipping Holdings is dedicated to promoting international trade and global economic development with its robust shipping business.

Sustainable		3
community	Appendix