Sunway International : 2022 Environmental, Social and Governance Report

SUNWAY INTERNATIONAL HOLDINGS LIMITED

(Incorporated in Bermuda with limited liability)

Stock Code: 00058

ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT

2022

Contents

1. About the Group
   3-4 About this Report
   5-7 Governance of Sustainable Development
   8-9 Communication with Stakeholders
   10-13 Employment and Labour Practices
   14-15 Operational Practices

1. Community Investment 17-19 Environmental Protection
   20-22 Summary of Environmental, Social and Governance Performance Indicators

About the Group

Sunway International Holdings Limited ("Sunway International"), together with its subsidiaries (collectively, the "Group") focuses on the manufacture and sales of pre-stressed high strength concrete piles as well as ready-mixed concrete, sand- lime bricks, aerated concrete products and eco-permeable concrete products. The business is operated by Guangdong Hengjia Construction Materials Co., Ltd ("Guangdong Hengjia"), a subsidiary of Sunway International. The Group has been committed to diversifying its business and improving its all-round competition advantages while continuously consolidating its business in the building materials industry.

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About this Report

Sunway International Holdings Limited ("Sunway International"), together with its subsidiaries (collectively, the "Group") focuses on the manufacture and sales of pre-stressed high strength concrete piles as well as ready-mixed concrete, sand-lime bricks, aerated concrete products and eco-permeable concrete products. The business is operated by Guangdong Hengjia Construction Materials Co., Ltd ("Guangdong Hengjia"), a subsidiary of Sunway International. The Group has been committed to diversifying its business and improving its all-round competition advantages while continuously consolidating its business in the building materials industry.

ABOUT THIS REPORT

This Report is the sixth Environmental, Social and Governance Report (the "Report") published by Sunway International. It is prepared in both Chinese and English, and is available on the website of The Stock Exchange of Hong Kong Limited (the "Stock Exchange") and the Group's website at http://www.hk0058.com/.

SCOPE OF REPORT

This Report highlights the performance of Group's core business, namely the "pre-stressedhigh-strength concrete piles and others"1 operating segment in terms of environmental protection and community care for the period from 1 January 2022 to 31 December 2022 (the "Reporting Period"). Consistent with the previous reports, the scope of this Report covers the production plant of Guangdong Hengjia located in Yangjiang, Guangdong Province. The Group understands that this Report does not cover all current operations of the Group. The Group will continuously improve the system of data collection and gradually expand the scope of disclosure to cover all the operations of the Group, in order to provide more comprehensive information to the stakeholders.

REPORTING STANDARD

This report is prepared in accordance with the Environmental, Social and Governance Reporting Guide (the "Guide") set out in Appendix 27 to the Rules Governing the Listing of Securities on the Stock Exchange, with the use of the four reporting principles of the Guide - materiality, quantification, balance and consistency - as the basis for preparing the Report.

Reporting principles

Definitions

Responses

Materiality	The report should reflect the significant
	economic, environmental and social
	impacts of the organization, or the areas
	that materially influence stakeholders'
	assessments and decisions regarding the
	organization.

Management interviews were used to identify and report on ESG issues of critical importance to the Group and its stakeholders.

Qualification	An organization must ensure that key
	performance data can be calculated and
	clearly state and criteria and method of
	calculation.

Each unit was instructed to record key environmental and social performance data, and professional consultants were engaged to assess carbon emissions and other key environmental performances, based on local guidelines and international standards, disclosed where appropriate. Intensity is calculated based on the total floor area of the business units included in the scope of this Report as at year-end date.

1 Sales and manufacturing pre-stressedhigh-strength concrete piles as well as ready-mixed concrete, sand-lime bricks, aerated concrete products and eco- permeable concrete products and related processing.

SUNWAY INTERNATIONAL HOLDINGS LIMITED  •  ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT 2022

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About this Report

Reporting principles

Definitions

Responses

Balance	The organization should prepare the reports
	in an unbiased manner to ensure that the
	positive and negative impacts are clearly
	stated, so that stakeholders can reasonably
	assess the overall performance of the
	organization.

An accurate, objective and fair approach was adopted as the principle of preparation to explain the achievements of the Group in sustainability and the challenges it faced.

Consistency	Consistent disclosure statistical approach
	should be adopted to enable stakeholders
	to compare environmental, social and
	governance data with the sustainability
	p e r f o r m a n c e a n d p r o g r e s s o f t h e
	organization.

A consistent approach for statistics was adopted and, where practicable, historical data were provided for comparison.

CONFIRMATION AND APPROVAL

All information contained herein has been collected from the official documents and statistics of Sunway International and Guangdong Hengjia, and the management and operation information collected in accordance with the Group's policies. The Report was approved by the board of directors on 31 March 2023.

FEEDBACK

The Group welcomes your opinions on the Report and other issues in relation to sustainable development. Should you have any enquiries or comments, please contact the Group through the following means such that the Group can constantly enhance its ESG performance:

Address:	3/F, Mandarin Commercial House, 38 Morrison Hill Road, Wanchai, Hong Kong
Email:	[e-mail]
Telephone:	(852) 2728 2322
Facsimile:	(852) 2728 2887

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