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ZTE selected as constituent member of the Hang Seng Corporate Sustainability Index Series

9 September 2022, Shenzhen, China - ZTE Corporation, a major international provider of telecommunications, enterprise and consumer technology solutions for the mobile internet, has been selected as a constituent member of the Hang Seng (China A) Corporate Sustainability Index ("HSCASUS") and Hang Seng (Mainland and HK) Corporate Sustainability Index ("HSMHSUS"), for its outstanding performance in ESG (Environmental, Social and Corporate Governance). The change was effective from September 5, 2022.

During the recent years, corporate sustainability has attracted more and more attention across the globe, while the global sustainable development investment has grown rapidly. The Hang Seng Corporate Sustainability Index Series, as an important index in the capital market, is reviewed once a year to reflect the performance and investment value of the listed companies in sustainable development.
 

Constituent selection is based on a robust process that includes consideration of the results from a sustainability assessment undertaken by an independent and professional assessment body, using its proprietary sustainability assessment and rating framework. The process ensures that indexes in the Hang Seng Corporate Sustainability Index Series are objective, reliable and of high investability, making them excellent benchmarks for index funds that adopt a corporate sustainability theme. The HSCASUS includes the top 30 A-share companies that perform best in ESG. The HSMHSUS is a cross-market index that covers corporate sustainability leaders in Hong Kong and on the Mainland.


ZTE, with its commitment to being a "Driver of Digital Economy”, has always attached great importance to its sustainable development. Through its global management system, ZTE has attended to stakeholders' concerns and requirements, identified remarkable sustainable development issues, evaluated opportunities and risks, and carried out its normalized and standardized management.


In terms of environmental affairs, ZTE paves a green path to digital economy by promoting green operations, green supply chain, and green digital infrastructure, and empowering the green development of industries, thereby facilitating the sustainable development of operators and verticals.


While pursuing business development, ZTE also takes an active part in public welfare activities. ZTE focuses on educational development, medical assistance, vulnerable population assistance, rural vitalization, and environmental protection, and ensures that all public welfare projects effectively respond to recipients' needs and achieve expected social benefits.

As for internal control and corporate governance, by using digital tools, ZTE has established a relatively complete system for risk management and internal control, and constantly improved the Business Continuity Management (BCM) system. Meanwhile, upholding compliance and integrity in operations, ZTE has incorporated compliance requirements into the company's business processes, thereby building a best-in-class compliance management system that is aligned with the company's business practices. In this way, the company strives to achieve sustainable development together with its customers, suppliers, and other business partners around the world.

ZTE's contribution to ESG and sustainable development has been recognized in the industry. In 2021, both of ZTE's A shares and H shares have been included into the FTSE4Good Index Series. In addition, ZTE has officially been named to Fortune China ESG Influential Listing 2022, and won the "2022 Corporate Governance" award at the 14th China Corporate Social Responsibility (CSR) Annual Conference. Since 2009, ZTE, as a member of the UN Global Compact and Global Enabling Sustainability Initiative (GeSI), has been releasing the sustainability report to the public for 14 consecutive years.

Moving forward, ZTE, with its commitment to being a "Driver of Digital Economy", will take green development into practice across the globe, actively fulfill its social responsibilities, and inject digital intelligence into sustainable development.

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