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Supplier Assessment

The Company has established rules for the evaluation of suppliers. In addition to business management, technical capability, and production capacity, new suppliers must also provide a "Supplier Basic Information Survey Form" with a "Declaration of Confirmation of Environmentally Hazardous Substances and Conflict Minerals", a "Supplier Sustainability Statement", and samples (including SDS Safety Data Sheet) for investigation and evaluation by the responsible department. After the supplier passes the investigation and the evaluation, it can be classified as the Company’s qualified supplier. The Company also pays great attention to the quality system of its suppliers. The main raw material suppliers are required to have ISO 9001 quality system certification. New suppliers are selected based on their quality, delivery, supply status, operational performance, and service capability, as well as environmental protection, labor practices, human rights, anti-corruption, and other aspects. Since 2016, the Company has started to evaluate and communicate with our suppliers on CSR compliance, including sending “Supplier Sustainability Statement” to our suppliers to complete and return, and conducting CSR compliance surveys to new and existing suppliers.

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